Definition of Terms

Gaming activities means any game played with cards, dice, equipment or any mechanical, electromechanical or electronic device or machine for money, property, checks, credit or credit card or any representative of value, including but without limiting the generality of the foregoing, bingo, wheel of fortune, baccarat, slot machine, horse race, lottery, wager or stake, any banking or percentage game or any other game or device approved by the Board

Gaming activities does not include games played with cards in private homes or residences in which no person makes money for operating the game.

Types of Operations

The Gaming tax is charged on six types of gaming activities namely Casinos, Sports Betting, SMS Lottery, National Lottery, Slots (Route) Operations and Forty Machines Site.

GBT issues different types of licenses to different operators to conduct gaming activities in the country on yearly basis. 

Filling Of Returns

The modality in filing returns and collection procedures of Gaming Tax depends on the type of the operator.

For Casinos: - filing of returns for land based and internet casinos is done on weekly basis as per amendment in Finance Act, 2013.

While the rest which including Sports Betting, SMS Lotteries, National Lottery, Slot Machines/ Route Operations and Forty Machines Site the filing of returns is done on monthly basis.

Type

Tax Rate & Base

Returns

Land Based Casino

18% on Gross Gaming Revenue

Weekly

 

12% on Net Winnings

Online/Internet Casino

25% on Gross Gaming Revenue

Weekly

 

15% on Net Winnings

Sports Betting

25% on Gross Gaming Revenue

Monthly

 

15% on Net Winnings

SMS Lottery

25% on Gross Gaming Revenue

Monthly

 

15% on Net Winnings

National Lottery

20% on Gross Gaming Revenue

Monthly      

 

15% on Net Winnings

Virtual Games

10% on Gross Gaming Revenue

Monthly

 

 

15% on Net Winnings

Slots/Routes

100,000Tshs/machine

Monthly

Forty machine site

25% on Gross Gaming Revenue

Monthly

Mode of Payment and Collections

Taxpayer does registration for payment in Revenue Gateway System (RGS) to get order form with control number. Then the taxpayer has to submit the signed order form with control number by signatory(s) to Commercial Bank for payment process. 

The Commercial Bank use the signed order form submitted by Taxpayer to post payment to designated TRA Bank accounts. The threshold below five (5) Million can be posted to Commercial Banks account and above five (5) Million should be transacted through TISS to BOT Account.  

ITEM

GFS Code

DESCRIPTION

440

11440107

Sports Betting on Stakes (Sales)

440

11440108

Sports Betting on winnings

440

11440109

Slots (Route) Operation

440

11440110

SMS Lotteries

440

11440111

National Lotteries

440

11440112

Casino on Gross Gaming Revenue (GGR)

440

11440113

Casino Winnings

440

11440114

Forty Machines Site

440

11440115

Tax on Virtual Games -Gross Gaming Revenue

440

11440116

Tax on Virtual Games-Winnings

 

Stakeholders/Taxpayers in the gaming industry are directed to observe the following

 >To comply and pay gaming taxes to TRA according to existing applicable rates;

 >To register and obtain Taxpayer Identification Number (TIN) for those who are not registered as such.

 >To fill and submit gaming tax returns to TRA Offices in the Tax Region where TIN is registered.

 >To use the GFS Codes specified below when making payments of gaming tax due to TRA and in accordance with the type of gaming activity conducted by gamers