This archive report was first published on 28 September 2019.
On September 28, 2019, SportPesa, Kenya's biggest betting firm, expressed its disappointment with the new taxation policies imposed by the Kenyan legislature.
The company stated that the 20% excise tax on all betting stakes is based on a fundamental misunderstanding of how revenue generation works in the bookmaker industry, as per National Treasury CS Henry.
As a result, SportPesa has halted its operations until the government revises the taxation policies to make them more favorable.
According to SportPesa, the imposed tax could have severe consequences on betting firms that are tax compliant, potentially leading to a decline in government tax revenue to near zero and halting all investments in sports in Kenya.
Meanwhile, Betin has declared its staff redundant, citing the company's non-operational status since July 2019 and the lack of success in license renewal negotiations with government entities.
Some betting companies, including Betway, OdiBets, and Mozzartbet, have been cleared by the Kenya Revenue Authority for licensing by the Betting and Licensing Control Board.
