GAMING TAX Act 21/ 2016
About Gaming Tax
Gaming Tax was enacted with a view of regulating the use of gaming machines, the conduct of lotteries and betting, and gaming in general.
What is Gaming?
Gaming as defined by the Act means playing any game of chance for a prize, and includes–
◦ Every form of gaming using a gaming machine
◦ participating in a lottery
The Gaming Act gave effect to the establishment of a Gaming Commission, whose responsibility is to facilitate the application and issuance of a gaming license.
Gaming Tax is a tax charged on gross receipts of every person who provides facilities for Gaming.
Rate of Tax
Schedule IV of the Gaming Act
The rates applicable for computing gaming tax shall be as follows–
(a) 30% of gross receipts, or $250.00 in respect of each gaming machine, whichever is greater. This does not apply for gaming machines used for the purpose of e-gaming
(b) 30% of gross receipts - persons providing facilities for betting excluding pool betting
(c) 30% of gross receipts - persons providing facilities for pool betting
(d) 25% of gross receipts - persons promoting a lottery – a person other than a non-commercial society or a local authority
(e) 15% of gross receipts - persons promoting a lottery – a non-commercial society or a local authority
(f) 15% of gross receipts - members’ club providing facilities for gaming to its members
Gaming Tax is due on the 10th of every month.
Late Filing Penalty
5% of the amount of the tax owing plus a further 1% for the amount of the tax owing for each month or part of a month during which failure to file continues, and $500.00, plus a further $100.00 for each month or part month the failure to file continues. Late filing fee is limited to $10,000.00
Late Payment Fee:
20% of the tax due but not paid.
1.5% per month or part month, compounded, if an amount is not paid by the due date.
Where Can payments be made?
It can be paid at the Inland Revenue Department’s Cash Office or any District Revenue Office.