On 16 December 2020, the Kenya Revenue Authority (KRA) published the final Income Tax (Digital Service Tax) Regulations, 2020 to implement the digital services tax. The DST rate is 1.5% of the gross transaction value and will be payable at the time of the payment transfer to the service provider. The DST will be an advance tax for resident persons and non-resident persons with a Permanent Establishment (PE) in Kenya and a final tax for non-residents with no PE in Kenya. The regulations come into force on 2 January 2021.