Why excessive tax is no solution to Kenya’s gambling problem

Chemei Nimo (centre), a weekly SportPesa jackpot winner, and her parents pose with a dummy cheque at their home in Kapsokwony, Mt Elgon last year. photo | file

It is barely four months after the coming into force of the 35 per cent tax on gaming revenue, and the Treasury is proposing new tax changes in the gambling industry.

This is through the Tax Laws (Amendment) Bill, 2018 that the Treasury has tabled in Parliament for debate and possible approval. The new changes will require gambling companies to withhold tax on winnings paid to punters (players) at the rate of 20 per cent.

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Note: The results are not exact but very close to the actual.