In response to this rapidly evolving situation, Focus Gaming News has compiled this special report, documenting the reforms across key markets, analysing their impact on operators and players, and examining the tensions between fiscal revenue goals and market sustainability, reshaping Africa’s regulatory landscape.<\/p>\n\n\n\n
From withholding taxes<\/strong> to excise duties and GGR levies, gambling rules <\/strong>are being rewritten across land-based, online and cross-border markets.<\/strong> Operators now face higher costs, stricter reporting and broader tax bases, while players encounter deductions on deposits, withdrawals and winnings. Revenue growth comes alongside rising controversy<\/strong>, with markets bracing for disruption as old practices give way to new fiscal realities<\/strong>.<\/p>\n\n\n\n Nigeria<\/strong> introduced new gambling tax rules on January 1, 2025, including a 5\u202fper cent withholding tax on gambling winnings for residents and 15\u202fper cent for non\u2011residents applied to sports betting, lotteries and other gaming prizes. Additionally, a 5\u202fper cent excise duty on telecom and gaming services affects operators\u2019 revenues for digital transactions. These measures aimed to capture revenue from the rapidly expanding online betting market while formalising digital gambling taxation.<\/p>\n\n\n\n Congo\u2011Brazzaville<\/strong> enacted a comprehensive gambling regulatory and taxation framework with Law No.\u202f37\u20112024, published on December 12,\u202f2024, and coming into effect on January 1, 2025. The law sets rules for licensing and taxation of sports betting, casinos, lotteries and other gambling activities, with taxes applied on gross gaming revenue, generally ranging from 10\u202fper cent to 15\u202fper cent, as defined by the annual finance law. It also introduced certified reporting and compliance requirements for operators, marking a major step in formalising and regulating the sector.<\/p>\n\n\n\n Morocco<\/strong> implemented its new tax on foreign online gambling winnings under the 2025 Finance Law (Finance Bill PLF 60.24), adopted by Parliament in late 2024 and effective May 1, 2025. A 30 per cent withholding tax now applies to winnings earned by Moroccan residents on foreign online gambling platforms, deducted at source by banks and payment intermediaries. In addition, a 2 per cent solidarity contribution on such winnings supports social programmes, including aid for low\u2011income families, educational initiatives and rural development.<\/p>\n\n\n\n Kenya<\/u><\/strong> significantly restructured gambling taxes under the Finance Act 2025, effective July 1, 2025. The excise duty was cut from 15 per cent on bets placed to 5 per cent on deposits into betting wallets, while the withholding tax on winnings dropped from 20 per cent to 5 per cent and now applies to all withdrawals. Although the rates are lower, taxing every deposit and withdrawal-even funds not used for betting-broadens the tax base, meaning players may still pay more in some cases and overall government revenue from gambling is expected to rise.<\/p>\n\n\n\n Ethiopia<\/strong> implemented gambling tax reforms on July 1, 2025 under Proclamation No. 1395\/2025. Withholding taxes on lotteries, prize draws, sports betting and other games of chance rose from 15 per cent to between 20 per cent and 25 per cent, while licensed operators continue to pay a turnover tax of about 15 per cent on total stakes or sales. Authorities also took steps to strengthen compliance, including suspending certain licences to reinforce regulation.<\/p>\n\n\n\n Malawi<\/strong> raised the withholding tax on gambling and lottery winnings from 10 per cent to 15 per cent and removed previous tax-free thresholds, effective December 31, 2025, meaning all winnings are now taxable at source. The tax applies to all sports betting, lotteries, casino games and online gambling, with operators required to deduct it before pay-out. These changes were implemented as part of broader revenue-raising measures in the 2025\/26 Mid-Year Budget, aiming to capture more government revenue from the growing gambling sector while simplifying tax administration.<\/p>\n\n\n\n Senegal<\/strong> introduced a 20\u202fper cent withholding tax on all regulated gambling winnings, effective November 1, 2025 under Law No.\u202f17\/2025. The tax applies across land\u2011based and online gambling, including sports betting, lotteries and casinos, and is withheld automatically by operators. The reforms aim to increase government revenue and formalise the sector, with mandatory reporting for licensed operators.<\/p>\n\n\n\n Zambia<\/strong> implemented a 10 per cent excise duty on betting stakes, effective October 15, 2025, levied on both online and retail wagers. The tax is collected monthly by operators and forms part of broader fiscal reforms aimed at increasing government revenue from the growing betting industry. It applies to all types of betting, including sports, lotteries and casino games, and is calculated on the total amount staked. The government expects the levy to strengthen regulation of the sector and support efforts to formalise digital gambling transactions.<\/p>\n\n\n\n The Gambia<\/u><\/strong> increased its tax on gambling winnings from 40\u202fper cent to 50\u202fper cent, effective January 1, 2026, under the 2026 Finance Act. The tax applies across all licensed betting, gaming, lotteries and casinos, including online platforms, and is withheld by operators at payout. It is expected to significantly increase government revenue, and operators must remit the tax promptly, strengthening compliance and oversight of the sector. At 50\u202fper cent, it is the highest gambling winnings tax in Africa.<\/p>\n\n\n\n Zimbabwe<\/strong> raised the operator tax on gross gaming revenue (GGR) from 3\u202fper cent to 20\u202fper cent and increased withholding tax on player winnings from 10\u202fper cent to 25\u202fper cent across sports betting, lotteries and casino gaming. The operator gambling tax overhaul, effective January 1, 2026, is now treated as a final tax, reducing corporate tax overlap while enhancing revenue certainty.<\/p>\n\n\n\n Togolese Republic<\/strong> implemented a 5\u202fper cent withholding tax on lottery and gambling winnings exceeding CFA500,000 (\u20ac760), effective January 1, 2026. Operators must withhold the tax at pay-out for both retail and digital bets, and certified electronic invoicing is now required to ensure full compliance and reporting under the 2026 Finance Law.<\/p>\n\n\n\n South Africa released a draft discussion paper on November 25, 2025, proposing a 20\u202fper cent <\/strong>national tax on gross online gambling revenue (GGR)<\/strong>. Previously, online and interactive gambling was taxed only through provincial levies of 6\u202fper cent to 9 per cent, with no unified national rate. <\/p>\n\n\n\n The proposed tax<\/strong> would sit on top of existing provincial taxes and VAT, significantly increasing the overall burden on operators. Treasury presents the measure as both a revenue and social policy tool<\/strong>, targeting responsible gambling and stronger oversight of the rapidly growing online betting sector. The proposal has not been enacted into law as it is under consultation<\/strong>, with a deadline of February 27.<\/p>\n\n\n\n The continent-wide surge<\/strong> in gambling taxes has triggered widespread pushback f<\/strong>rom players, operators and industry groups. In Senegal<\/strong>, bettors staged public protests<\/strong> over reduced net payouts, claiming the new 20\u202fper cent<\/strong> withholding tax slashed winnings and could encourage informal betting. Zambia<\/strong> saw operators challenge the excise duty in court<\/strong>, arguing the 10\u202fper cent<\/strong> levy harms retail business and may drive customers offshore<\/strong>.<\/p>\n\n\n\n Malawi<\/strong> faced complaints<\/strong> about the removal of tax-free thresholds and the jump from 10\u202fper cent to 15\u202fper cent<\/strong>, which some say could push punters toward informal markets<\/strong>. Zimbabwe\u2019s<\/strong> steep increases prompted calls for phased implementation to prevent destabilising<\/strong> small operators. In Kenya<\/strong>, criticism focused on taxing deposits and withdrawals, with some players feeling unfairly penalised <\/strong>on non-winning withdrawals.<\/p>\n\n\n\n Morocco\u2019s 30\u202fper cent withholding tax and 2\u202fper cent<\/strong> solidarity contribution drew concern from cross-border<\/strong> players, while South Africa\u2019s<\/strong> proposed 20\u202fper cent<\/strong> GGR tax has sparked industry warnings that it may push bettors to offshore sites. Across the board, backlash highlights tension <\/strong>between revenue generation and market sustainability, with many arguing that sudden hikes could unintentionally fuel illegal or informal gambling channels<\/strong>.<\/p>\n\n\nCountries hit by gambling tax spike<\/h2>\n\n\n\n
SA\u2019s proposed betting tax<\/strong><\/h2>\n\n\n\n
Backlash and market reaction<\/strong><\/h2>\n\n\n\n
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