The Domestic Tax Revenue Division(DTRD) of the Ghana Revenue Authority says it has generated GH¢15 million in taxes from betting.
This is barely two months from its implementation date of August 14, 2023.
It forms part of the government’s efforts to expand the tax base and increase domestic revenue.
The authority maintained that the 10% tax would be charged on profits accrued after each win and that the existing 15% Value Added Tax (VAT) rate on each stake would no longer be charged.
The tax collector is optimistic that this amount will reach GH¢60 million before the 2023-2024 football season ends.
The Commissioner in charge of DTRD, Edward Gyambra expressed confidence that the Authority will surpass its revenue targets by the end of the year.
“We have two streams of taxes: the gross revenue tax and the withholding tax,” he explained.
“During the first month of implementation, we averaged GH¢20 million for the Gross Gaming Revenue(GGR). As for the withholding tax, we’ve just started the betting season, but during the lean season, we averaged GH¢15 million. We anticipate this to quadruple by May 2024.”
The GRA introduced the 10% withholding tax on betting, to raise approximately GH¢400 million to bolster government revenue.
It said that the new policy is in line with an amendment to the Income Tax Act 2023 (No.2), Act 1094.