Accra, Ghana – (African Boulevard News) – The Ghana Revenue Authority (GRA) has recently announced the implementation of a new tax policy that will levy a 10% tax on all betting and lottery winnings in the country. This move is expected to boost government revenue and promote responsible gambling practices.
According to the GRA, this withholding tax will be automatically deducted at the point of pay-out for all betting, games, and lottery wins. The tax will apply to both online and offline gambling platforms, including sports betting, casino games, and the national lottery.
The introduction of this tax is part of the government’s efforts to generate additional revenue and reduce the country’s dependence on external aid. Ghana, like many African nations, faces significant economic challenges, and this move is seen as a progressive step towards fiscal sustainability.
The implementation of the 10% tax on betting and lottery winnings has sparked mixed reactions among the Ghanaian population. Some argue that it is a necessary measure to curb excessive gambling and generate revenue for social programs. Others, however, are concerned that it may discourage participation in these activities, especially among low-income individuals who view gambling as a potential means of improving their financial situation.
Industry experts suggest that this tax could have a significant impact on the betting and lottery sector. Kwesi Owusu, a prominent economist, emphasizes the potential benefits of the tax, stating, “By taxing gambling winnings, the government can ensure that a fair share of the profits is reinvested into social programs, education, and healthcare.”
While the tax may deter some individuals from participating in gambling activities, it is essential to note that the objective is not to discourage responsible gambling but rather to ensure that the industry contributes to the broader welfare of society. The tax revenue collected will help fund essential infrastructure projects, provide social support, and promote responsible gambling practices.
The implementation of this tax follows a global trend where many countries have introduced similar schemes to finance public services. In the United Kingdom, for example, a 15% tax is levied on all gambling winnings, contributing substantial revenue to the national budget.
Ghana’s decision to implement a 10% tax on betting and lottery winnings reflects a proactive approach towards fiscal sustainability and responsible gambling. While the taxation policy may face initial resistance, it is a necessary step towards creating a more balanced and equitable economy.
As the tax takes effect, it remains to be seen how the betting and lottery industry will adapt and whether the Ghanaian population will continue to engage in these activities. Nonetheless, the government’s commitment to generating additional revenue and promoting responsible gambling practices sets a positive example for other African nations facing similar economic challenges.
Source:
https://www.africanews.com/2023/08/17/ghana-implements-10-tax-on-betting-and-lottery-winnings/
