The taxman is poised for a sweeping crackdown on the fast growing digital economy under new regulations that establish a broad-based tax on non-resident companies, directly targeting the income of global giants like Netflix, Airbnb, and OpenAI like Google’s ChatGPT from Kenyan users.
The Income Tax (Significant Economic Presence Tax) Regulations, 2025, published by the taxman on Monday, formally replace the 2020 Digital Service Tax (DST) with the more comprehensive levy.
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The taxman is poised for a sweeping crackdown on the fast growing digital economy under new regulations that establish a broad-based tax on non-resident companies, directly targeting the income of global giants like Netflix, Airbnb, and OpenAI like Google’s ChatGPT from Kenyan users.
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By Brian Ngugi