Deputy Finance Minister-Designate, Dr Alexander Ampaabeng, has expressed his support for the government’s implementation of the betting tax.
During his vetting by the Appointments Committee of Parliament in Accra, he endorsed the tax, highlighting its revenue potential for the country.
Responding to questions from Elizabeth Ofosu-Agyare, the National Democratic Congress (NDC) Member of Parliament for Techiman North, Dr Ampaabeng, a tax expert, clarified that the betting tax was not a new concept.
He explained that it was first introduced in 2015 under Act 891 (Customs Acts, 2015), with subsequent amendments.
Differentiating between previous legislation and the current provision (Act 1094), Dr Ampaabeng highlighted that the latest amendment removed the exemption threshold, thereby subjecting all winnings to taxation.
He emphasised that similar betting taxes were prevalent in East Africa.
Expressing his stance on the matter, Dr Ampaabeng asserted that, from a revenue generation perspective, the betting tax presented significant opportunities for the country.
The Income Tax (Amendment) Act 2023 (Act 1094) introduces a withholding tax of 10 percent on all betting, lottery, and games of chance winnings.
In addition to endorsing the betting tax, Dr Ampaabeng also advocated for the expansion of the tax net to include online businesses. He emphasised the importance of assessing and reconsidering options to ensure that the government maximises revenue potential from online platforms.