Close Menu
    Facebook X (Twitter) Instagram
    Facebook X (Twitter) Instagram
    KahawatunguKahawatungu
    Button
    • NEWS
    • BUSINESS
    • KNOW YOUR CELEBRITY
    • POLITICS
    • TECHNOLOGY
    • SPORTS
    • HOW-TO
    • WORLD NEWS
    KahawatunguKahawatungu
    TECHNOLOGY

    Web-Hosting Firm, SiteGround, No Longer Signing Up Kenyan Businesses Due to Digital Tax

    Francis MuliBy Francis MuliMay 5, 2021No Comments3 Mins Read
    Facebook Twitter WhatsApp Telegram Email
    Share
    Facebook Twitter WhatsApp Telegram Pinterest Email Copy Link

    The effects of Kenya’s newly adopted digital tax that commenced in January 2021 are starting to be felt. Google, Facebook, Uber and a number of online businesses already reviewed their prices upwards as the Kenya Revenue Authority (KRA) makes good of its plans to tax all online businesses.

    A Bulgarian based webhosting company, SiteGround has pulled out its services from the Kenyan market citing high compliance costs. The firm said it will no longer sign up Kenyan businesses which have been flocking to the site for its affordable quality services.

    “Due to new local regulations (mostly tax-related), we have recently stopped offering new sign-ups for a number of countries and Kenya is one of them,” SiteGround replied to a Kenyan web designer, who had unsuccessfully sought to sign up an account for a client, via Twitter.

    Image

    Read: KRA Updates iTax System To Enable Digital Tax Collection Set To Commence in January 2021

    “Complying with said regulations would be expensive for us, making offering our product there not feasible for us.”

    SiteGround has data hubs in the US, UK, Germany, the Netherlands, Singapore and Australia. The company offers a range of low cost solutions including domains, enterprise solutions and email hosting.

    A few people however alleged that the company was racist hence their pulling out of Kenya. To this, they responded that they had pulled their services from a number of countries.

    1/2 A couple of months we decided to stop offering new signups in several countries as mentioned in the original tweet but this has nothing to do with Kenya as a country.

    — SiteGround (@SiteGround) May 4, 2021

    2/2 We respect everyone regardless of race, gender, or class. The decision was mainly due to the rapid legal and tax-related changes in several regions that made offering our services there not feasible.

    — SiteGround (@SiteGround) May 4, 2021

    SiteGround is particularly popular for WordPress and Joomla websites that are common in Kenya. Their services are particularly popular due to faster customer support and stronger uptime.

    Read also: How to Create A Website in Easy Steps

    “It’s a big loss for micro-enterprises wanting to set up online,” Dennis Macharia, a web designer at Rynode Solutions Ltd told the Business Daily.

    “SiteGround is one of the best worldwide and whenever I have issues with client’s account, they respond fast while other platforms do not even offer customer support.”

    KRA is targeting Sh5 billion from 1,000 businesses that accrue revenue from Kenya’s digital marketplace.

    “The way the taxes have been structured lately, the likely effect is that they will lower the eventual tax throughput to the KRA,” Secretary-general for ICT Association of Kenya, Kamotho Njenga said.

    “The taxman may think they are getting innovative, but they may be doing a disservice to their bottom line collection because not every investor will go public on why they have left ”

    Email your news TIPS to Editor@kahawatungu.com or WhatsApp +254707482874. You can also find us on Telegram through www.t.me/kahawatungu

    Email your news TIPS to Editor@Kahawatungu.com — this is our only official communication channel

    Digital Tax SiteGround
    Follow on Facebook Follow on X (Twitter)
    Share. Facebook Twitter WhatsApp LinkedIn Telegram Email
    Francis Muli
    • Website
    • Facebook
    • X (Twitter)
    • Instagram
    • LinkedIn

    Follow me on Twitter @francismuli_ Email: Editor@Kahawatungu.com

    Related Posts

    Israel Issues Travel Advisory for Tanzania Ahead of Expected December 9 Demonstrations

    December 5, 2025

    Ndanyi named new Rift Valley police commander in changes

    December 4, 2025

    Meta starts kicking Australian children off Instagram and Facebook 

    December 4, 2025

    Comments are closed.

    Latest Posts

    Kenya on course as a regional security, trade, digital, and governance hub

    December 6, 2025

    McLaren prepared to use team orders in Abu Dhabi

    December 6, 2025

    Meta shifts some metaverse investments to AI smart glasses

    December 6, 2025

    US hits out at EU’s ‘suffocating regulations’ after it fines Elon Musk’s X

    December 6, 2025

    US vaccine panel votes to end recommendation for hepatitis B jabs for newborns

    December 6, 2025

    Trump administration says Europe faces ‘civilisational erasure’

    December 6, 2025

    Why More Buyers Are Choosing Premium Gold for Everyday Wear

    December 6, 2025

    The Homeowner’s Guide to Planning a Safe and Efficient Heat Room

    December 6, 2025
    Facebook X (Twitter) Instagram Pinterest
    © 2025 Kahawatungu.com. Designed by Okii.

    Type above and press Enter to search. Press Esc to cancel.