Kenyan lawmakers are presently debating whether to proceed with a bill that would allow for the taxation of cryptocurrency, according to Business Daily.
The Capital Markets (Amendment) Bill, 2022, will tax cryptocurrency exchanges, digital wallets, and transactions.
When crypto investors in Kenya sell or use their cryptocurrency in a transaction, they must pay capital gains tax to the Kenya Revenue Authority. The law would also oblige investors to notify the Capital Markets Authority, the government's financial regulator, about their cryptocurrency ownership.
According to a United Nations estimate, around 8.5% of Kenya's population, or 4.25 million individuals, possess cryptocurrencies. This 8.5% is fifth in the globe, with the United States placing sixth at 8.3%.
"The amendment would provide for precise measures to control digital currency transactions in Kenya, including the definition of digital currencies, their generation through crypto mining, and laws around digital currency trade," said bill sponsor Mosop MP Abraham Kirwa.
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