Hi All Just thinking abt the removal of duty on software in the recent budget. - What is the present rate of duty on SW and how much will this impact the cost of PCs (esp where they have an OEM agreement to sell with an OS)? Can we expect major reductions in the price of laptops/desktops loaded with an OS? - Also does this not remove protection of local developers (e.g. payroll systems, accounting, etc etc) by making imported software costs come down? - In the enterprise space, given that software delivery can be via the cloud, I think it makes sense to let go of this duty since its going to raise the same issue of how to tax e-commerce. -- Francis Hook +254 733 504561
Francis May be someone conversant with this move can give us more information. For example increasingly software companies do customization which would come under professional services. Is this also tax exempted? Regards Ali Hussein +254 773/713 601113 Sent from my iPhone® On Jul 9, 2012, at 10:17 AM, Francis Hook <francis.hook@gmail.com> wrote:
Hi All Just thinking abt the removal of duty on software in the recent budget. - What is the present rate of duty on SW and how much will this impact the cost of PCs (esp where they have an OEM agreement to sell with an OS)? Can we expect major reductions in the price of laptops/desktops loaded with an OS? - Also does this not remove protection of local developers (e.g. payroll systems, accounting, etc etc) by making imported software costs come down? - In the enterprise space, given that software delivery can be via the cloud, I think it makes sense to let go of this duty since its going to raise the same issue of how to tax e-commerce.
-- Francis Hook +254 733 504561
_______________________________________________ kictanet mailing list kictanet@lists.kictanet.or.ke https://lists.kictanet.or.ke/mailman/listinfo/kictanet
Unsubscribe or change your options at https://lists.kictanet.or.ke/mailman/options/kictanet/info%40alyhussein.com
The Kenya ICT Action Network (KICTANet) is a multi-stakeholder platform for people and institutions interested and involved in ICT policy and regulation. The network aims to act as a catalyst for reform in the ICT sector in support of the national aim of ICT enabled growth and development.
KICTANetiquette : Adhere to the same standards of acceptable behaviors online that you follow in real life: respect people's times and bandwidth, share knowledge, don't flame or abuse or personalize, respect privacy, do not spam, do not market your wares or qualifications.
On Mon, Jul 9, 2012 at 10:21 AM, Ali Hussein <ali@hussein.me.ke> wrote:
Francis
May be someone conversant with this move can give us more information.
For example increasingly software companies do customization which would come under professional services. Is this also tax exempted?
@Ali, Is that like asking if you can offer professional services for free? When you offer professional services, those are professional services and have nothing to do with software or otherwise. Withholding tax applies. -- Best regards, Odhiambo WASHINGTON, Nairobi,KE +254733744121/+254722743223 _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ I can't hear you -- I'm using the scrambler.
Listers I'm also curious about a few things, 1. What does this mean for local software developers like Craft Silicon, Seven Seas, Footman Walker and so on? Will they come under pressure to cut their prices? 2. Will this kill local innovation? 3. Exactly what is the size of the local software industry vis a vis imported products? 4. Which firms are behind the lobbying to remove the duty? On Mon, Jul 9, 2012 at 11:07 AM, Odhiambo Washington <odhiambo@gmail.com> wrote:
On Mon, Jul 9, 2012 at 10:21 AM, Ali Hussein <ali@hussein.me.ke> wrote:
Francis
May be someone conversant with this move can give us more information.
For example increasingly software companies do customization which would come under professional services. Is this also tax exempted?
@Ali,
Is that like asking if you can offer professional services for free? When you offer professional services, those are professional services and have nothing to do with software or otherwise. Withholding tax applies.
-- Best regards, Odhiambo WASHINGTON, Nairobi,KE +254733744121/+254722743223 _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ I can't hear you -- I'm using the scrambler.
_______________________________________________ kictanet mailing list kictanet@lists.kictanet.or.ke https://lists.kictanet.or.ke/mailman/listinfo/kictanet
Unsubscribe or change your options at https://lists.kictanet.or.ke/mailman/options/kictanet/jgmbugua%40gmail.com
The Kenya ICT Action Network (KICTANet) is a multi-stakeholder platform for people and institutions interested and involved in ICT policy and regulation. The network aims to act as a catalyst for reform in the ICT sector in support of the national aim of ICT enabled growth and development.
KICTANetiquette : Adhere to the same standards of acceptable behaviors online that you follow in real life: respect people's times and bandwidth, share knowledge, don't flame or abuse or personalize, respect privacy, do not spam, do not market your wares or qualifications.
participants (4)
-
Ali Hussein -
Francis Hook -
James Mbugua -
Odhiambo Washington