Tech

Kenyan President, Ruto orders review of proposed tax on digital content creators

Published

1 year ago

June 3, 2023

President Williams Ruto of Kenya has ordered for a review of a proposed 15% tax on digital content creators enacted by his predecessor, Uhuru Kenyatta which was captured in the Finance Bill for 2023.

The controversial proposal which raised a lot of dissent in the country, would see local content creators, including bloggers, YouTubers, and social media influencers, paying a 15% tax, with many saying it will amount to double taxation.

The proposal was approved in 2021 by then President Kenyatta who gave the green light to the Value Added Tax (Digital Marketplace Supply) Regulations, 2020 draft.

The bill defined digital marketplace supply as any supply of a service made over a platform that enables the direct interaction between buyers and sellers of services through electronic means.

According to the proposed Finance Bill, “the scope of digital content monetization has now been expanded to include payment gained from advertisements on websites, social media platforms, and other outlets, brand sponsorships, and affiliate marketing.

“Others include subscription services where the audience pays a regular fee to view the content, crowdfunding for a creator and membership programs.

“A person who is required to deduct the digital asset tax shall, within twenty-four hours after making the deduction, remit the amount so deducted to the Commissioner together with a return of the amount of the payment, the amount of tax deducted, and such other information as the Commissioner may require.”

But while speaking during the National Drama Festival at the State House in Nairobi on Friday, Ruto ordered Parliamentary Finance and ICT Committees to rethink the clause on taxing content creators.

“I know there is a proposal in this year’s budget on digital content, and creators are making a statement,” President Ruto said.

“I have told the ICT and Finance committee to work on it. Let’s them give a bit more space,” he added.

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Tech

South Sudanese telcos increase tariffs as exchange rates soar

Published

3 days ago

October 23, 2024

Isaac Dachen

Telecommunication companies in South Sudan have been forced to increase their tariffs as a result of a hike in the official exchange rate.

Local media reports that the likes of MTN South Sudan, Zain South Sudan, and Digitel Holdings have jointly announced a tariff adjustment in response to an increase the official exchange rate following an agreement between the National Communications Authority (NCA) and the Bank of South Sudan (BOSS) to align telecommunications service prices with the official exchange rate.

The adjustment will occur in three phases from October to December 2024 with the first change taking effect on the night of October 18, followed by subsequent changes on November 18 and December 18, 2024.

In a joint communique, the telcos confirmed that notifications about the initial adjustment were distributed via various channels and the decision was made after considering the potential impact on customers and the telecom sector.

“Since the first phase began, operators have increased the cost of internet and mobile airtime subscriptions by 600 South Sudanese pounds,” a media platform reported.

“Thus, subscribers now pay SSP1,565 for 100 MB with Zain, SSP1,790 with MTN, and SSP1,835 with Digitel, rather than the previous SSP900.

Meanwhile, another report has also indicated that the parliament will address rising telecommunications tariffs once the committee investigating alleged malpractices within telecommunications companies has submitted its findings.

According to one lawmaker, these practices have significantly raised the cost of communication services in the country, affecting the general public.

Tech

Rwanda’s e-mobiility startup IZI expands electric bus fleet after getting grant from Green Fund

Published

5 days ago

October 21, 2024

Isaac Dachen

Rwanda’s e-mobility startup, IZI, has announced the delivery of five electric buses to Kigali, the country’s capital city, after obtaining a substantial grant from the Rwandan Green Fund.

IZI, a frontrunner in electric vehicle solutions which says it is on a mission to electrify Rwanda’s public transport sector, has, in just four months of operation, grown its initial fleet of five electric buses to an enviable height.

CEO of the startup, Alex Wilson, believes the grant is a testament to the success story of IZI.

“These results validate our E-Mobility-as-a-Service model. We’re not just reducing emissions; we’re proving that sustainable public transport is economically viable in Africa.

“Building on this success, IZI has secured an RWF 300,000,000 grant from the Rwanda Green Fund to deploy five additional electric buses in Kigali.

“These vehicles will represent the most advanced public transport in Rwanda to date, boasting features such as an independent intelligent driver’s cabin, air suspension balanced driver’s seat, full LCD dashboard, one-step entry, and a flat-floor design for improved passenger comfort,” he said.

He added that the success of IZI’s pilot has led to strong demand from other Rwandan public bus operators.

“IZI has now signed contracts with 4 leading transport companies for the deployment of over 100 buses, marking a significant expansion of its operations.

“Looking ahead, IZI plans to establish a state-of-the-art battery maintenance and repair facility in Kigali, supporting the entire EV ecosystem in Rwanda and positioning the country as a centre of innovation in the EV industry,” he added.