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Senate Seeks Regulation and Taxation of Digital Cabs

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Nyakundi Report

Newsroom 1 min read

This archive report was first published on 23 November 2019.

Published on November 23, 2019, the Senate Committee on Labour and Social welfare is taking steps to regulate and tax digital cabs in Kenya.

Committee chairman Johnstone Sakaja believes that the lack of clear regulation and tax guidelines is leading to potential revenue loss for the state, with the Kenya Revenue Authority (KRA) potentially missing out on taxes from ride-hailing apps.

The committee is advocating for an inclusive and collaborative approach in formulating the tax and regulatory policies, with a focus on protecting the interests of drivers who earn less than minimum wage from the business.

NTSA has been given a fortnight to meet with digital cab stakeholders and formulate policy guidelines that favour the interests of drivers.

Welcoming the new directive, drivers say that the regulations will offer them a chance to participate in developing policies and improve their welfare.

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