SportPesa threatens to leave Kenya because of a sharp increase in taxes

SportPesa threatens to leave Kenya because of a sharp increase in taxes

The internet gambling provider SportPesa has warned, that it may shut down its Kenyan operations, if the new taxation regime will come into force from 1 January 2018.

Last month, the President of Kenya Uhuru Kenyatta introduced a new tax rate of 35% of gross profit from all gambling, including sports betting, games and lottery. Currently, the operators, working in Kenya, must pay 7.5% tax on their net income.

SportPesa was one of the first, who voiced its discontent with the government activities. Actually, the company has already ceased most of its sporting sponsorship deals in Kenya because of the tax increase.

Now the operator said, that it may stop all of its gambling in the country, if the government does not reconsider its new course.