BETTING KENYA Kenyan football clubs warn 20% betting stake tax makes sport “unsustainable” 2 years ago Samuel Post Views: 645 Leading Kenyan football clubs Gor Mahia FC and AFC Leopards have spoken out against the proposed reintroduction of a 20% excise tax on betting stakes. The excise tax has been a major source of controversy in Kenya. When it was raised from 10% to 20%, in September 2019 the country’s largest operator SportsPesa left the market for over a year. Sportpesa had previously sponsored Gor Mahia and AFC Leopards, but ended those deals following a dispute over a different 20% tax that the regulator argued included betting stakes. This was eventually resolved by a court ruling. The excise tax, meanwhile, was ultimately removed last year in the country’s budget, which proved a key step in allowing Sportpesa to return to the market. However, the tax was reintroduced into the country’s Finance Bill by the Kenyan Treasury last month. Parliament is set to consider the bill, including the tax, this month. In a joint statement from Gor Mahia chairman Ambrose Rachier and Leopards’ chairman Dan Shikanda, the dependence that Kenyan sport – particularly football – has on sponsorships from betting companies was highlighted. Both teams signed sponsorship deals with Bettson brand Betsafe in 2020, and their statement points out that betting sponsorships have contributed up to Kes1.6bn to clubs between 2016-2020, helping to grow the stature of Kenyan football. Shikanda and Rachier said: “The enactment of the 20% excise tax will unequivocally rule out continued sponsorship of football clubs across all tiers, with the net effect of rendering the operations of most of the league teams unsustainable. As you may be aware, our clubs have been facing extremely challenging financial times and with this tax, which will render our primary sponsors unable to continue with their partnerships, it will certainly be an own goal on Kenyan football as it would disrupt if not enforce the suspension of the second half of the season.” Shikanda and Rachier added: “We as representatives of the top tier football clubs in Kenya and by extension the sports fraternity feel that this tax proposal is ill-timed, and make a strong appeal to the government and members of parliament to make special considerations on this exigent matter, and give the sports clubs a fighting chance during these difficult times.” Gor Mahia and AFC Leopards are both based in Nairobi and are the two most successfl clubs in the country. Gor Mahia has won the Kenyan Premier League 18 times and AFC Leopards 13 times. Source: igamingbusiness.com About Post Author Samuel I am a journalist specializing in gambling in Africa and around the world. I am particularly interested in stories about games and casinos. See author's posts SamuelI am a journalist specializing in gambling in Africa and around the world. I am particularly interested in stories about games and casinos. Facebook Twitter LinkedIn Email Print Tags: FC Leopards, football, Gor Mahia, Kenya Continue Reading Previous Dima Reiderman announces ML technology in sports bettingNext Nairobi targets jackpot in new casino, gaming fees More Stories BETTING KENYA Ndungú’s stake in Sportpesa firm risks seizure without pay 13 hours ago Szarlot BETTING NIGERIA Parimatch Tech evolves into GR8 Tech 13 hours ago Szarlot CASINO KENYA Illicit brew, counterfeit goods retrieved in a nationwide police crackdown 19 hours ago Samuel BETTING SOUTH AFRICA SIS, Kiron Interactive in Africa partnership 4 days ago Szarlot BETTING UGANDA Melbet online betting is a stable source of income 4 days ago Szarlot BETTING WORLD NEWS Bookmaker 1xBet denies problems with license and connection with Russia 4 days ago Samuel EXPERTS KENYA Gamblers Rejoice As Court Scraps Nairobi Law 4 days ago Samuel EXPERTS KENYA Court quashes betting tax, limit on gambling in 5-star hotels 5 days ago Szarlot KENYA ONLINE The State of Gaming and E-sport Space in Africa 6 days ago Samuel BETTING TANZANIA Betting firm employs 142 Tanzanian youths 1 week ago Szarlot BETTING SOUTH AFRICA Betfred SA denies it owes Joburg City Power over R3m in unpaid lights bill 1 week ago Szarlot BETTING TANZANIA Parimatch Tech becomes GR8 Tech 1 week ago Samuel Leave a Reply Cancel replyYour email address will not be published. Required fields are marked *Comment * Name * Email * Website Save my name, email, and website in this browser for the next time I comment. Δ This site uses Akismet to reduce spam. Learn how your comment data is processed.