Osei Kyei-Mensah-Bonsu, the Majority Leader in Ghana, has expressed his support for the 10% withholding tax imposed by the Ghana Revenue Authority on total earnings from gaming. He views this tax as a reasonable and prudent policy decision.
According to Kyei-Mensah-Bonsu, gambling promotes idleness and discourages hard work, which he believes is essential for personal and societal development. He urged the youth to focus on working diligently instead of relying on luck or chance through gambling.
He also shared his personal stance, mentioning that he does not engage in lottery or gambling activities because he values hard work as the key to financial success.
The 10% withholding tax on gross gaming winnings is set to be implemented from August 15, 2023. This tax is being introduced as an amendment to the Income Tax Act, and it replaces the existing 15% Value Added Tax (VAT) on each stake. The tax will be deducted by gaming companies from the winnings of players and remitted to the Ghana Revenue Authority.
The implementation of this tax has generated discussions about its impact on the gaming industry and society as a whole. Advocates of the tax argue that it can contribute to government revenue and deter excessive gambling, while opponents raise concerns about the potential negative effects on the gaming industry and the choices of individuals.