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He added that should casinos close up shop, the enterprise will both go offshore or underground. Gross annual turnover of casinos in Kenya stands at an estimated $20 million , based on a report by advisory agency PricewaterhouseCoopers . Golden Key has annual gross revenue of approximately Sh200 million on which it used to pay a gaming tax of Sh24 million under the previous tax fee of 12 per cent of the turnover. Lotteries give prizes to holders of random numbers while prize competitions reward people for his or her talent, data or use of a company’s merchandise. Click on the heading to go to the betting market overview.

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The flat taxation treats the businesses the identical regardless of their different models and value buildings, which the earlier tax regime seems to have taken under consideration. Pambazuka National Lottery, for example, last month suspended its operations and its affiliate sports betting agency SportPesa cancelled its Sh600 million annual funding to various sports activities organisations. We simply don’t see how we can presumably survive a tax of 35 per cent on gross revenue. We can only consider cessation of operations to keep away from continuous losses,” Martin Dunford, a director of Golden Key Casino, wrote within the letter.

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