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The flat taxation treats the businesses the identical despite their totally different fashions and cost constructions, which the previous tax regime seems to have taken into consideration. Pambazuka National Lottery, as an example, final month suspended its operations and its affiliate sports betting firm SportPesa cancelled its Sh600 million annual funding to numerous sports organisations. We just don’t see how we can possibly survive a tax of 35 per cent on gross revenue.
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“Generally a casino’s gross revenue 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 contemplating shutting down, according to Association of Gaming Operators Kenya chairperson Ronald Karauri. Industry insiders stated the economics of the business might not allow them to shoulder the additional tax burden, forcing them to close up shop. However, the lack of a obtain software for iOS and Android gadgets is a bit bitter.
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