SPORTS betting lovers might have to dig deeper in their pockets as the Minister for Finance and Planning, Philip Mpango, proposed change in the Gaming tax rate from six to ten per cent on gross sales in sports betting operations.
Tabling the national budget speech here yesterday, Minister Mpango also proposed to increase gaming tax from 32,000/- to 100,000/- per slot machine per month.
He said the measure is intended to increase government revenue and promote fairness within the gaming industry. “I propose to increase gaming tax from 15 to 18 per cent on gross gaming revenue for Land based casino operators” he said when moving a 32.48tr/- proposed budget for 2018/2019 financial year.
He told the National Assembly that the measure is intended to increase government revenue taking into account that the current rate of 15 per cent increase on gross gaming revenue for land based casino operators was introduced in 2012. Other proposal under the gaming act amendment is a 15 per cent gaming tax increase from 15 to 20 per cent on gross gaming revenues for Forty Machines.
Minister Mpango said should the amended proposal endorsed by the House on gaming activities are expected to increase government revenue by 21.2bn/-. He said the government will continue to review various levies and fees with a view to improving business and investment environment. “Unless otherwise stated, the new measures shall become effective on July 1, 2018” tabled Dr Mpango.
The theme of the 2018/19 Budget is “to build an industrial economy that will stimulate employment and sustainable social welfare.” Mpango said the industrial economic reforms will be built through inclusive economic participation, partnership and collective efforts. In order to achieve the intended goals, he said, bold decisions must be undertaken in allocating the available scarce resources to strategic areas.