10,000 Jobs At Risk As 35 Per Cent Tax Hits Casinos
The flat taxation treats the companies the same regardless of their totally different fashions and value buildings, which the previous tax regime seems to have taken into account. Pambazuka National Lottery, as an example, final month suspended its operations and its affiliate sports activities betting agency SportPesa cancelled its Sh600 million annual funding to varied sports activities organisations. We just don’t see how we are ready to probably survive a tax of 35 per cent on gross income.
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“Generally a casino’s gross earnings will exceed costs by between 10 to 25 per cent relying on its dimension. In our case it is at best 22 per cent,” Mr Dunford wrote in the letter. More casinos are considering shutting down, based on Association of Gaming Operators Kenya chairperson Ronald Karauri. Industry insiders stated the economics of the business could not allow them to shoulder the extra tax burden, forcing them to close up store. However, the lack of a download software for iOS and Android units is a bit bitter.
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