Tanzania proposes 5% betting stake tax targeting US$29m
The proposed levy on sports betting, casinos, slot games and virtual gaming could generate TZS74.5bn (US$29m) in additional revenue, with 10 per cent earmarked for gambling regulation.
Tanzania.- Tanzania has proposed introducing a 5 per cent excise duty on betting stakes across sports betting, casinos, slot machines and virtual games as part of its 2026/27 budget, with the government projecting the new levy could generate TZS74.5bn (US$29m) in additional revenue while supporting stronger regulation of the gambling sector.
Presenting the 2026/27 Budget Speech to the National Assembly in Dodoma on June 11 2026, Finance Minister Khamis Mussa Omar announced plans to impose a 5 per cent excise duty on the value of bets placed in gambling activities, including land-based and online sports betting, casino gaming, slot games and virtual games. The speech, published on the Ministry of Finance website, outlined Tanzania’s fiscal measures for the 2026/27 financial year.
According to the Tanzania 2026/27 Budget Speech, 10 per cent of the revenue collected from the new levy will be remitted to the Gaming Board of Tanzania (GBT) to “improve efficiency and regulation of gambling activities.”
The budget speech states that the measure is intended to reduce the consequences of gambling, including addiction, while encouraging young people to engage in “productive economic pursuits.”
The government said the measure is expected to increase revenue that will, among other things, be “used to finance economic activities” and other public programmes. The government estimates that the proposed levy could generate approximately TZS74.5bn (US$29m) in additional revenue if approved.
Proposed tax shift emerges
According to analysis published by Tanzania-based advisory firm Tax and Investment Consultants Group Limited (TICGL), the proposed 5 per cent levy differs from existing gaming taxes because it is charged on the value of each bet placed rather than on operator revenue or player winnings. The proposed levy would add to Tanzania’s existing gaming tax framework, which already includes taxes on operator revenue and player winnings across gambling products. TICGL said the measure would represent Tanzania’s first excise duty charged directly on betting stakes rather than operator revenue or winnings.
The proposed betting levy forms part of Tanzania’s broader fiscal strategy, with the government aiming to increase tax revenue to 13.7 per cent of GDP in 2026/27 from a projected 13.2 per cent in 2025/26.
The proposal comes as Tanzania’s gambling sector continues to expand, with the Gaming Board of Tanzania reporting that the industry contributed TZS260.21bn (US$101m) to government revenue in 2024/25 and supported more than 30,000 direct and indirect jobs nationwide.
The measure was introduced under Tanzania’s 2026/27 budget, which is themed “Building a resilient economy through digital transformation, strategic investment, and sustainable fiscal policies for inclusive economic growth.”
The government said key priorities for the budget include increasing domestic revenue collection through new revenue sources, strengthening ICT systems and improving tax administration. The proposal remains subject to parliamentary approval before it can come into effect.
