Facebook has introduced taxes in Kenya effective April 1, 2021. The social media giant said these taxes will be applicable to advertisers whose ‘Sold To’ country on their business or personal address is set to Kenya and who haven’t confirmed that they are advertising for business purposes. “Due to implementation of a value-added tax (VAT) in Kenya, Facebook is required to charge VAT on the sale of ads to advertisers that are not advertising for business purposes in Kenya,” it explained in a statement. In the Ad Accounts Settings of Ads Manager, Facebook said, “you can check the box to confirm whether or not you’re advertising for business purposes and responsible for self-assessing and paying VAT in accordance with the Tax Code of Kenya.”If you confirm you are advertising for business purposes, Facebook said it “doesn’t add VAT to your purchase of Facebook ads.”Facebook added that VAT would be added whenever you are charged for your ads if you’re not purchasing Facebook ads for business purposes. These Regulations aim at ensuring that VAT is charged on taxable services supplied in Kenya through the digital marketplace by Business to Customer (B2C) transactions.

Source: Daily Nation March 25, 2021 11:15 UTC