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The flat taxation treats the businesses the identical regardless of their different fashions and price constructions, which the previous tax regime seems to have taken into account. Pambazuka National Lottery, for instance, final month suspended its operations and its affiliate sports betting firm SportPesa cancelled its Sh600 million annual funding to numerous sports organisations. We just don’t see how we can possibly survive a tax of 35 per cent on gross revenue. We can only contemplate cessation of operations to keep away from continual losses,” Martin Dunford, a director of Golden Key Casino, wrote within the letter.

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He added that should casinos close up store, the enterprise will both go offshore or underground. Gross annual turnover of casinos in Kenya stands at an estimated $20 million , in accordance with a report by advisory firm 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 earlier tax price of 12 per cent of the turnover. Lotteries give prizes to holders of random numbers while prize competitions reward individuals for their talent, knowledge or use of a company’s merchandise. Click on the heading to go to the betting market overview.

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“Generally a casino’s gross income will exceed costs by between 10 to 25 per cent depending on its size. In our case it is at best 22 per cent,” Mr Dunford wrote in the letter. More casinos are contemplating shutting down, based on Association of Gaming Operators Kenya chairperson Ronald Karauri. Industry insiders said the economics of the enterprise might not permit them to shoulder the extra tax burden, forcing them to close up store. However, the dearth of a obtain utility for iOS and Android units is a bit bitter. Downloading an APK file is just superfluous if it is only linked to the browser app.

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