Treasury Cabinet Secretary John Mbadi has announced that the government will reduce the Digital Asset Tax from the current 3.0 per cent to 1.5 per cent under the Finance Bill 2025.
Mbadi explained that the decision aligns with the recent reduction of the Turnover Tax, which primarily targets small businesses.
He noted the need for uniformity in the tax regime to ease the burden on digital entrepreneurs, many of whom operate small-scale businesses. "Digital tax will be reduced from 3 per cent to 1.5 per cent in the new budget.
The argument from players in the digital space has been that they are largely small business people, hence the need for uniformity.
