The Kenya Revenue Authority (KRA) has completed its pilot project that will see the tax man collect revenue from betting companies daily.
In the new move, the government through KRA seeks to track the 15 per cent tax on betting. gaming and lottery as well as the 20 per cent withheld tax on winnings collected from gamblers daily.
In order to achieve optimal tax collection, KRA has linked its systems with those of about seven sports gaming firms in order to seal the loopholes of tax leakages.
KRA is projecting to collect Ksh15 billion from betting companies which translates to a tax collection target of Ksh500 million from betting farms daily.
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As such, betting companies will now be required by law to pay taxes daily by 1 am. Treasury Principal Secretary Chris Kiptoo said KRA made the new changes on tax administration so as to ensure optimal collection of taxes.
Kiptoo said the changes and improvements include: the implementation of a new web-based improved VAT system; integration of the KRA system with the Betting Sector and mapping of rental properties”.