The Kenya Revenue Authority (KRA) is implementing a new digital tax, the Income Tax (Significant Economic Presence Tax) Regulations, 2025, replacing the previous Digital Service Tax (DST). This move targets non-resident companies, subjecting global digital platforms like Netflix, Airbnb, and OpenAI's ChatGPT to taxation on income generated from Kenyan users.

• The new regulations, published on Monday, aim for a broad-based tax on the fast-growing digital economy.
• KRA Commissioner General Humphrey Wattanga has invited public comments on the draft regulations.
• This signifies a "sweeping crackdown" on the digital economy, expanding the taxman's reach beyond previous frameworks.