News From The Sports Scene

Kenyan Sports Betting Firm Moves To Court To Challenge The Betting Tax

Kenyan Sports Betting Firm Moves To Court To Challenge The Betting Tax

Kenya’s largest betting company, SportPesa, which has recently expanded its business to the international market by entering the Italian market is in the news again, this time for moving to the court to challenge the 35% tax on revenue which came was signed into law by the President Uhuru Kenyatta last month.

The law will come into force from January next year. The bill is aimed to discourage Kenyans especially the youth from sports betting and another kind of gambling which will destroy the society as a whole, according to the Uhuru.

SportPesa sent out a notice on June 23 to all its beneficiaries to be ready for massive cuts, as the betting firm is the biggest investors in sports sponsorship. The company says it finds it extremely difficult to accept the 35% betting tax that the government has imposed and to continue to honour the obligations of their sponsorships. During the next five years the Kenya Rugby Union, Football Kenya Federation (FKF) and Kenyan Premier League were supposed to receive Sh1.5 billion from the company, will face the brunt, making them the biggest losers in this case.

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