The Ugandan government has introduced proposals to hike the tax burden on gambling, for both operators and players.
Last week, Ugandan politicians proposed the Lotteries and Gaming (Amendment) Act 2026, which, if approved, would harmonise betting tax at a 30% GGR rate, in line with iGaming.
Additionally, the Income Tax (Amendment) Bill 2026 was also tabled, introducing a 15% withholding tax on net winnings from betting and gaming activities.
If the bills are approved, both will come into force from 1 July this year.
Harmonisation of gambling tax in Uganda
Currently, gambling tax in Uganda is split into two tiers under the Lotteries and Gaming (Amendment) Act 2023.
That bill increased the tax on gaming activities, including casino, from 20% to 30% as it was deemed a more harmful activity for players.
Betting, meanwhile, is currently taxed at a rate of 20% due to it being a lower-margin activity for operators.
Should Uganda’s harmonised 30% tax rate be implemented, it will make the burden one of the highest in the continent.
Uganda isn’t alone in terms of African countries seeking to alter the tax on gambling, and passing the burden onto players.
Neighbouring market Kenya last year introduced a 5% tax on every withdrawal from a betting wallet, as well a 5% excise duty on deposits.
In February this year, the state of Lagos in Nigeria implemented an immediate 5% withholding tax on winnings.
Performance of gambling in Uganda
According to the data from H2 Gambling Capital, the Ugandan gambling market has enjoyed a steady upturn in performance in recent years.
The total interactive market hit a gross win of $438.3 million in 2025, with this expected to increase to $995.5 million by the end of 2029.
Sport betting is the dominant activity in Uganda, accounting for $328 million of the interactive gross win total in 2025.
But the market somewhat struggles with illegal gambling, with the offshore interactive market generating $114.8 million in 2025 gross win, over 26% of the total interactive total.
Kyle Goldsmith
Kyle has been with Clarion since December 2023, joining from the world of sports journalism, subsequently becoming a LatAm-facing senior reporter with iGB.
Original article: https://igamingbusiness.com/finance/tax/uganda-proposes-ggr-tax-gambling/
