Online businesses such as Uber and Neflix are set to start paying the 1.5 percent digital services tax as early as January 2020.
This comes after approval of the 2020 finance bill yesterday (Tuesday), by President Uhuru.
Additional tax proposals lined up for next year include; the extension of the upper limit of the residential income tax paid by landlords from Ksh 10 million to Ksh 15 million.
Key taxes taking effect immediately include the dropping of the threshold on excise duty charged to beer and spirits by alcohol strength from over 10 percent to six percent a factor set to raise the cost of some beers and spirits.
The contentious one percent minimum tax on the gross turnovers of loss making firms is also include as part of the bill.
The president and the National Assembly were in mutual agreement in plans to moot loopholes in tax mobilization.