- Finance Bill 2025 proposes tax changes on digital assets, VAT, and corporate incentives in Kenya.
- The bill includes amendments affecting corporate income tax, VAT, digital asset taxation, and international tax compliance.
- Most measures are proposed to take effect from July 1, 2025.
- Increased per diem exemption from KES 2,000 to KES 10,000.
- Corporate tax incentives for start-ups with reduced rates for certified companies.
- Lower tax on digital asset transfers from 3 percent to 1.5 percent.
- Changes to VAT treatment with updates to exempt goods and zero-rated supplies.
- Extended VAT refund review period from 90 to 120 days.
- Stamp duty exemption on corporate restructuring for property transfers.
- Expansion of significant economic presence tax to nonresident entities.
- Amendments to domestic minimum top-up tax aligning with OECD Pillar Two.
Source: globalvatcompliance.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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