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In a recent statement that has ignited heated discussions among bettors and politicians alike, former Finance Minister Dr. Mohammed Amin Adam commented on his successor’s announcement concerning the abolition of the betting tax in Ghana.
During the presentation of the 2025 Budget Statement on March 11, Dr. Cassiel Ato Forson declared the government’s intention to eliminate the 10% withholding tax on lottery winnings, commonly referred to as the “Betting Tax.” Dr. Forson stated emphatically, “Mr. Speaker, we will abolish the 10% withholding tax on winnings from lottery, otherwise known as the ‘Betting Tax.'”
However, shortly after this announcement, Dr. Amin Adam, current MP for Karaga, openly disputed the legitimacy of the proposed abolition, alleging that the government is misleading the public. He contended that the New Patriotic Party (NPP) had never implemented the betting tax in the first place, insinuating that Ghanaians should not celebrate what they never experienced.
“Ladies and Gentlemen, the so-called betting tax that they claim to have abolished was never collected. We never implemented the betting tax; therefore, to claim its abolition is to deceive the people of Ghana,” he asserted.
This statement has stirred significant backlash, particularly among bettors, who have taken to social media to question: “If that’s true, where is the 10% that was deducted from our winnings?”
In a response on Facebook, Dr. Amin Adam clarified his position, stating that the tax does apply to both lottery and betting wins. He further explained that the proposed abolition pertains only to lottery winnings, dismissing Dr. Forson’s terminology.
Research indicates that, as of April 24, 2024, the Ghana Revenue Authority (GRA) has indeed been enforcing regulations related to the taxation of gross gaming revenue from various forms of betting, as laid out in a detailed document titled “Amended Practice Note on Taxation of Gross Gaming Revenue and Winnings from Lottery Operations under the Income Tax Act, 2015 (ACT 896).”
This document outlines that any person who pays out winnings, sourced in Ghana, is required to withhold tax from those winnings at the specified rate and remit it to the Commissioner-General. The types of gaming covered include:
- Lotto from the National Lottery Authority (NLA)
- Lotto from NLA collaborators
- Private Lotto Operations
- Sports Betting
- Casino Games
- Remote interactive games
- Other chance-based games
According to the guidelines, the withholding tax on sports betting is calculated by deducting the stake from the total payout to arrive at the gross winnings, from which the 10% tax is deducted before the balance is disbursed to the player. Bettors have expressed familiarity with this process, as it occurs whenever they win.
This debate raises important questions regarding responsibility and knowledge within the government. Was Dr. Ato Forson correct in equating “lottery wins” with the “betting tax,” or is Dr. Amin Adam right in suggesting that the tax was never applicable? Moreover, if the NPP did not enforce a betting tax, what commitment did their presidential candidate for the 2024 elections, Dr. Mahamudu Bawumia, make regarding its abolition in his manifesto?
To clarify these pressing questions, the current Commissioner General of the GRA must provide conclusive answers: Was the 10% tax deducted from bettors’ winnings remitted to the GRA as required? If taxation on their winnings was indeed implemented, why does the Finance Minister appear unaware?
Ultimately, the real issue at stake is transparency: “Who is actually keeping the 10% deducted from bettors’ winnings?” This question remains crucial, compelling all involved to seek clarity and responsibility moving forward.
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