Lawmakers in Uganda have set out plans to harmonise tax rates across betting verticals as the country’s government looks to tap into a surging gambling market.
Finance Minister Matia Kasaija presented the Lotteries and Gaming (Amendment) Act 2026 to the country’s parliament, which, if implemented, would bring tax on betting gross gaming revenue in line with casino GGR at 30%.
Previously, betting was taxed at 20% as it was deemed less harmful than casino gaming following the Lotteries and Gaming (Amendment) Act 2023.
If passed by parliament, the new 30% structure would come into effect on 1 July and place Uganda as a country with one of the highest tax rates in the region.
Alongside operators, politicians in Uganda are also seeking to boost tax collections by increasing the financial burden on players.
New tax proposals for the 2026/27 financial year have also set out a 15% withholding tax on betting and gaming activities, which will be applied to net winnings. This tax was previously in place, but was removed as part of changes to the country’s tax structure in 2023.
The shift back to taxing players mirrors similar decisions being taken across Africa and even comes amidst calls from East African Community (EAC) for a full harmonisation of taxation across the region.
In December, Zimbabwe confirmed an increase in tax on player winnings from 10% to 25%. Meanwhile, in Kenya, players are taxed 5% when depositing funds and a further 5% when withdrawing from their accounts.
Uganda hails revenue collection boost
Earlier this year, Uganda praised a new approach to gambling regulation for boosting revenue collection from the sector.
The country’s National Lotteries and Gaming Regulatory Board (NLGRB) revealed a near eight-fold increase in gaming industry non-tax revenue collection, shifting from Sh 1.14bn (£232,945) in the 2019/20 financial year to Sh 8.79bn (£1.8m) in FY 2024/25.
Bernard Winyi, the acting Executive Director of Uganda’s gaming board, praised the implementation of a National Central Electronic Monitoring System, which he says has improved the visibility of operators and activities in the gambling industry, as well as revised fee structures.
Uganda’s gaming market has experienced strong growth in recent years, mirroring wider trends across Africa in the wake of surging mobile adoption and the increased popularity of remote gaming among younger demographics.
The NLGRB reported that annual revenue collection has grown from Sh 17.4bn (£3.6m) in FY 15/16 to Sh 323bn (£66m) in FY 24/25 – underscoring the market’s continued trend towards significant growth.
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