KRA airbnb

The Kenya Revenue Authority (KRA) has recently made a significant move in its ongoing taxation drive. The tax authority has requested Airbnb, the popular online marketplace for lodging and tourism experiences, to provide historical transaction data of Kenyan hosts on its platform. This request spans from January 1, 2021, to December 31, 2022.

The primary aim of this request is to identify hosts and their earnings, thereby shedding light on potential tax liabilities. Airbnb Ireland UC, an Irish-registered company, serves as the data controller for all Airbnb users in Kenya. Following KRA’s request, the Irish Tax Authority (Irish Revenue) initiated an exchange of information request to obtain specific information about Kenyan hosts.

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Airbnb, under legal obligations, has been formally asked by Irish Revenue to share this information with KRA. Kenyan Airbnb users whose data is included in this exchange of information will receive notifications from Irish Revenue. The notification will simply confirm that their data will be shared with KRA.

This move is expected to help KRA better understand the tax obligations of Airbnb hosts. It will ensure that tax revenues are appropriately collected from the platform. The request from KRA is in line with a recent trend where the tax authority has been stepping up efforts to collect taxes from digital platforms

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The Digital Services Tax (DST) provides a structure for tax collection in the realm of digital marketplaces. This legislation mandates that all entities participating in digital marketplaces are required to pay 1.5 percent of their total transaction value as tax. The law also empowers the KRA to appoint tax agents, whose responsibility is to collect and remit the digital service tax.

Netizens React

“Let everyone pay their fair share of taxes to level the competitive playing field. This will improve business in Kenya. We can’t have hotels paying taxes and they are losing customers to Airbnb which are not paying taxes. You can’t have Samsung and Apple selling phones in malls and paying taxes then other people are flying in phones tax-free via JKIA. I support the move by the government to level the playing field on tax payments.” A Reddit user commented.

What do you think about this move? let us know in the comments below.

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Nigel Jr.
As a tech enthusiast and expert, Nigel Jr. is dedicated to providing in-depth and insightful content on all things technology. With a background in online journalism, product reviewing, and tech creation, Nigel has become a trusted source for all things tech.

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