Government Losing KES 1 Billion Monthly on Betting Ban

By Juma / August 20, 2019




The row over the decision by the government through the Ministry of Interior and the Betting Control and Licensing Board (BCLB) to ban some betting firms continues to boil with different quarters coming up to fault the government.

At the start of the month of July, the Betting Control and Licensing Board (BCLB) failed to renew operations licenses for 27 betting firms accusing some of them of failing to remit their taxes to Kenya Revenue Authority (KRA) as required by law.

A few days letter, KRA cleared 10 of the 27 firms who license had been suspended after they “met the requirements” but refused to do the same for other giant betting firms such as SportPesa and Betin.

What shocked many Kenyans were the allegations from the taxman that SportPesa among the non-compliant firms in terms of paying taxes when the same taxman had awarded SportPesa, three times in a row for being the best taxpayer.

SportPesa has for years been an icon in Kenyan gaming and sporting atmosphere with its permit suspension being felt across the board.

SportPesa has already canceled sponsorship for all the sporting activities in the country including support for Gor Mahia and AFC Leopards.

“We regrettably wish to announce that due to the uncertainty of this situation, SportPesa will be canceling sports sponsorship effective immediately. All clubs and partners will have received notices as provided in their contracts,” said SportPesa in a statement then.

Read:

Senators have come up to fault the government’s move to ban some betting firms such as SportPesa. Led by Senator for Makueni, Mutula Kilonzo Junior, faulted the government for ignoring court orders and frustrating genuine businesses. “I refuse a country where the law is used to suffocate honest businesses.”

On Tuesday, the senators issued another statement to the media calling on the government to lift the ban or the economy will soon feel the heat.

“We urge the government, through the institutions that are charged with the responsibility of investigations to proceed swiftly and independently investigate the said matter and if anyone will be found culpable, they can face the due process under the Kenyan law,” said Kakamega Senator Cleophas Malala.

The senators have called on the government to look at the interests of the economy and other stakeholders before making a rush decision on the said betting firms.

According to Senators, betting firms such as SportPesa have been key in the sponsorship of sports, culture, and arts-related activities, as well as universal healthcare for Kenyans.

“It is approximated that the government is losing 1 billion shillings every month due to the ban on betting. SportPesa and Betin paid close to 10 billion shillings in taxes in 2018 alone. The allegations that they have not been paying taxes are baseless and unfounded,” said Senator Malala.

The lawmakers have termed allegations from KRA as unlawful saying the law on income tax does not make any reference at all on the taxation of capital. “Taxation of the customer placed stakes in taxation on capital and contravenes the law.”



About Juma

Juma is an enthusiastic journalist who believes that journalism has power to change the world either negatively or positively depending on how one uses it.(020) 528 0222 or Email: [email protected]

View other posts by Juma


More Articles From This Author








Other Related Articles










SOKO DIRECTORY & FINANCIAL GUIDE

ARCHIVES

2019
  • January 2019 (256)
  • February 2019 (216)
  • March 2019 (285)
  • April 2019 (254)
  • May 2019 (272)
  • June 2019 (251)
  • July 2019 (339)
  • August 2019 (293)
  • September 2019 (307)
  • October 2019 (134)
  • 2018
  • January 2018 (291)
  • February 2018 (219)
  • March 2018 (278)
  • April 2018 (225)
  • May 2018 (238)
  • June 2018 (178)
  • July 2018 (257)
  • August 2018 (249)
  • September 2018 (256)
  • October 2018 (287)
  • November 2018 (284)
  • December 2018 (187)
  • 2017
  • January 2017 (183)
  • February 2017 (195)
  • March 2017 (207)
  • April 2017 (104)
  • May 2017 (169)
  • June 2017 (205)
  • July 2017 (190)
  • August 2017 (195)
  • September 2017 (186)
  • October 2017 (235)
  • November 2017 (253)
  • December 2017 (266)
  • 2016
  • January 2016 (165)
  • February 2016 (165)
  • March 2016 (190)
  • April 2016 (143)
  • May 2016 (245)
  • June 2016 (182)
  • July 2016 (271)
  • August 2016 (248)
  • September 2016 (234)
  • October 2016 (191)
  • November 2016 (243)
  • December 2016 (153)
  • 2015
  • January 2015 (1)
  • February 2015 (4)
  • March 2015 (166)
  • April 2015 (108)
  • May 2015 (116)
  • June 2015 (120)
  • July 2015 (148)
  • August 2015 (157)
  • September 2015 (188)
  • October 2015 (169)
  • November 2015 (174)
  • December 2015 (207)
  • 2014
  • March 2014 (2)
  • 2013
  • March 2013 (10)
  • June 2013 (1)
  • 2012
  • March 2012 (7)
  • April 2012 (15)
  • May 2012 (1)
  • July 2012 (1)
  • August 2012 (4)
  • October 2012 (2)
  • November 2012 (2)
  • December 2012 (1)
  • 2011
    2010
    2009
    2008
    2007
    2006
    2005
    2004
    2003
    2002
    2001
    2000
    1999
    1998
    1997
    1996
    1995
    1994
    1993
    1992
    1991
    1990
    1989
    1988
    1987
    1986
    1985
    1984
    1983
    1982
    1981
    1980
    1979
    1978
    1977
    1976
    1975
    1974
    1973
    1972
    1971
    1970
    1969
    1968
    1967
    1966
    1965
    1964
    1963
    1962
    1961
    1960
    1959
    1958
    1957
    1956
    1955
    1954
    1953
    1952
    1951
    1950