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Digital Tax Planned to Hit Google and Netflix in Kenya

A driver holds a phone displaying the Uber mobile application in Nairobi.

A driver holds a phone displaying the Uber mobile application in Nairobi.

Photographer: Simon Maina/AFP via Getty Images

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Online taxi-hailing platforms, streaming sites and subscription-based digital newspapers are among marketplace service providers that Kenya plans to tax, according to proposals by its revenue agency.

The proposed levy will be in addition to a 1.5% digital tax on the value of online transactions introduced in the Finance Bill 2020. Companies such as Uber Technologies Inc, Google parent Alphabet Inc and Netflix Inc will be expected to pay tax for services rendered and paid for in the East African nation.