By JOHN WALUBENGO More by this AuthorThe Cabinet Secretary in his 2020 budget speech finally pronounced himself on the digital tax question and slapped a 1.5 per cent tax on services offered online. I had previously written on the pros and cons of a digital service tax – from the perspective that it targeted the usual suspects, that is, the big international platform players such as Facebook, Amazon, Apple, Google and Netflix. TRADE WARSWhereas India, France and other bigger economies have implemented similar digital service tax regimes with a better success, they have also attracted retaliatory trade wars with the US administration. Which begs the question – why couldn’t the African Union, or at least the East African Community put together a joint digital tax regime? I am not arguing that they should not pay this digital tax.
Source: Daily Nation June 16, 2020 05:25 UTC