Kenyan Operators Facing New Restrictions
by Glenn Baird - August 29, 2018
Whilst Kenyan gambling operators can be pleased that they have been granted a tax break they might now have to face advertising restrictions.
News outlet “The Star” stated a few days ago that the current 35% tax on all gambling revenue could be reduced by a whopping 20%, as Kenya’s National Finance and Planning committee had recommended doing so.
It was only at the very start of 2018 that the 35% tax rate was introduced. Since then operators have been appealing to parliament complaining that the tax increase has had a significant impact on profit margins. Some operators, like the Pambazuka National Lottery , went as far as to suspend business in protest to the tax increase.
It has also been reported that there are plans to increase tax on winnings to 20%.
To make matter worse for gambling operators in Kenya, the Kenya Film Classification Board is now looking to ban gambling adverts from 5 in the morning until 10 at night, only leaving the 7 hours available for companies to advertise their brands. These measures are being suggested as a way to protect children, to prevent them from developing the sort of gambling habits that are becoming more common in the country.
The Nairobi News have reported that the KFCB will hit operators with “stern” punishments if they do not adhere to the ban.