The Ghana Revenue Authority (GRA) is aiming to generate approximately GH¢400 million through the recently introduced gaming tax.
This new tax imposes a 10 percent levy on winnings from bets and lotteries.
Spio Abedu, a member of the Gaming Committee at the GRA, revealed that the taxes will be deducted directly from the source.
He explained, “They are the withholding agent by law of the Commissioner General. So, they will withhold and pay same to the Commissioner General on the 15th of every month. The amount since 2021 was around 400, so it was suggested that it also includes the gross gaining revenues from the entities. We are looking at something that is close to more than 400 million.”
Effective from August 15, 2023, the GRA will begin implementing a 10% withholding tax on all gross gaming winnings.
This withholding tax will be applied to profits earned after each win, and the existing 15% Value Added Tax (VAT) on each stake will no longer be levied.
The GRA’s decision aligns with an amendment to the Income Tax Act 2023 (No.2), Act 1094.
Edward Gyamerah, the Commissioner for the Domestic Tax Revenue Division at the GRA, emphasized that gaming companies failing to comply with the new policy will face consequences, including the potential withdrawal of their licenses.