By: Doreen Ampofo
The Gaming Commission will be meeting the Ghana Revenue Authority, GRA, this week to begin conversations on scrapping the ten percent betting tax promised by President John Mahama during the 2024 election campaign. The ten percent tax on winnings was introduced by the previous administration in 2023 to regulate the industry and generate revenue.
This policy was met with resistance from bettors, especially the Ghanaian youth, who view it as a double tax since companies already pay corporate taxes.
At a maiden engagement with operators in the gaming industry, the newly appointed Acting Games Commissioner, Emmanuel Siisi Quainoo, indicated that the meeting with the GRA will also be used to discuss concerns raised by the operators about the 20 percent Gross Gaming Revenue taxes imposed by the GRA on the gaming operators.
According to Mr Siisi Quainoo, he is committed to ensuring the welfare of operators as well as implementing the campaign promises of the John Mahama administration.
“I have heard your concerns about the system software acquired by the GRA from a certain vendor for its betting tax. I have delved into the current operational activities of that vendor in the country so as to find out Why you operators have serious concerns about that particular vendor. We will meet the officials of the GRA on the betting issue.”
Mr Quainoo said without gaming operators there will be no Gaming Commission or betting tax. And this will mean the Government will not make any revenue from gaming activities.
He added that he had uncovered a situation where some sports betting companies were being given unfair advantages to the detriment of others. This he said is a big no, adding that action has been taken to reverse this.
“I’ve sent a letter to the National Communications Authority to restrict website access to 11 unauthorized companies operating games of chance which poses a major threat to national security and the public. Additionally, I have sent a letter to all payment providers to conduct due diligence with the gaming commission before onboarding any client involved in any game of chance.”
Among the issues raised were the revenues and interests of operators and government in the midst of conversations to scrap the betting tax, illegal betting, unfair advantages given to some operators as well as Gaming Commission staff illegally dealing with operators and engaging in gaming.
A gaming operator and Finance Manager at La Palm Casinos, Fred Owusu raised concern about the high taxes which are leading to the collapse of Gaming businesses.
“License fees, renewal, operational, blah blah blah a whole lot of things, to the extent that, as we speak, now an average operator pays 2 million Ghana Cedis in taxes every year.”
Mr Fred Owusu noted that some gaming operators pay more, especially for those operating machines. “Fortunately or unfortunately the taxes were quoted in US dollars, so those who cannot survive just close down. If you complain, nobody listens because in some peoples’ mind gambling is not good, it is bad so if your gambling business is collapsing should it be anybody’s business?”
The Acting Gaming Commissioner, Emmanuel Siisi Quainoo, indicated his willingness to operate an open-door policy for the growth of the industry.
