Payment Withdrawal Date Changes and PIN Requirement
Update regarding payment withdrawals and tax compliance on our platform.
The Finance Act of 2023 introduced a new tax known as “Digital Content Monetization,” which mandates us to pay a 5% tax to the Kenya Revenue Authority (KRA) within 5 days of issuing payments to sellers.
Sellers withdraw payments on different dates which means it will be challenging for us to submit the tax deductions on different days.
Therefore, beginning September 1, 2023, all payment withdrawals will be processed on the 25th of each month. In cases where the 25th falls on a weekend, payments will be issued on the 27th.
The benefit of this payment method is that if you withdraw payment on the 24th, you will still receive your funds on the following day (25th), as long as it is not a weekend.
To submit this tax deduction, we are required by KRA to provide the Tax PIN and the name of the individual or seller to whom we are making payments to. Therefore, we have added a new field for you to enter your KRA PIN in the payment withdrawal form.
We want to emphasize that these changes have been implemented to ensure our full compliance with government regulations. Failure to which our platform might be shut down.
These changes will not impact your commission rate of 70% for Kenyan residents.
If you have any questions or concerns about these updates or need assistance with providing your KRA PIN, please do not hesitate to reach out to our support team via email.