Global software suppliers to Kenya Airways (KQ) will be spared from the new digital service tax, which is a relief for the national carrier as it would otherwise have faced potentially hefty bills for its booking platforms and aircraft avionics systems.
Draft regulations published by the National Treasury Cabinet Secretary, John Mbadi, exempt digital service providers from paying the Significant Economic Presence (SEP) tax when supplying an airline in which the State holds at least a 45 percent stake.