Gambling tax rates across Africa are not easy to compare, because some countries tax what the player wins and others tax what the operator keeps. The Gambia charges the highest headline rate on player winnings, at 50%. South Africa is heading the other way, taxing operators instead of players.
The Gambia: 50% on every payout
The Gambia raised its tax on gambling winnings from 40% to 50% in its 2026 Budget Speech, effective 1 January 2026. The rate applies to sports betting, casino games and lottery prizes alike, and operators withhold it before paying the player. Several reports call this the highest gambling winnings tax rate in Africa. The Gambia Revenue Authority set the first major compliance deadline for 15 February 2026.
Senegal: 20% held back at payout
Senegal introduced a 20% withholding tax on gambling winnings under Law No. 17/2025, in force at retail outlets from 1 November 2025 and extended to digital platforms from mid-November. Bettors held a 72-hour strike against the tax. Reports do not agree on whether it is charged on the full payout or only the amount above the stake, so treat the exact base with caution.
Malawi: a rule still settling
Malawi raised its withholding tax on gambling winnings from 10% to 15% at the end of 2025, dropping the tax-free thresholds that its 2022 Taxation Act had set for smaller wins. A later 2026/27 budget, enacted in April 2026, appears to shift the tax base for some categories from winnings to the amount wagered. We could not confirm from public reporting whether this fully replaced the winnings-based rule, so operators should check directly with the Malawi Revenue Authority.
Kenya and Uganda: a mix of both
Kenya charges a 5% excise duty on deposits and a separate withholding tax on winnings, so players and the deposit itself are both taxed, as our Kenya betting rules guide explains. Uganda takes a different route: from 1 July 2026 it taxes betting at 30% of gross gaming revenue, the amount the operator keeps, rather than what the player wins, a point our report on Uganda's tax dispute sets out in full.
Also Read: AGOK Asks Treasury for a Single 20% Casino Tax
South Africa: no winnings tax, but a bigger operator bill
South Africa does not tax player winnings at all. Instead, Treasury set out a national 20% levy on operators' gross gambling revenue in its Medium Term Budget Policy Statement, on top of provincial taxes that already run 6% to 9%. The South African Bookmakers Association puts the combined effective rate at 38% to 39% of revenue once the new levy is added, a higher estimate than the 26% to 29% range we reported earlier from a different source. Our report on the delayed decision has the background; the final design is due in the February 2027 Budget.
Also Read: Online Casino GGR Tax Rates in South Africa and Tanzania
Why "highest tax" depends on what you are measuring
A 50% tax on a player's winnings and a 38% tax on an operator's revenue are not the same thing, and neither is directly comparable to the other. The Gambia's rate is the highest charged directly to players. South Africa's proposed rate, if it goes ahead, would be among the highest charged to operators. Both raise money from the same industry, just from different points in the transaction.
FAQ
Which African country has the highest gambling tax?
The Gambia has the highest tax on player winnings, at 50%. South Africa is proposing one of the highest operator-side taxes, with a combined estimate of 38% to 39% of revenue, but that is a different kind of tax.
Does Kenya tax gambling winnings?
Yes. Kenya charges a withholding tax on winnings in addition to a 5% excise duty on deposits.
Is Uganda's 30% tax charged on player winnings?
No. Uganda's 30% rate is charged on gross gaming revenue, which is what the operator keeps, not on what a player wins.
Has Malawi's gambling tax rate been confirmed?
Not clearly. It rose from 10% to 15% on winnings in late 2025, but a 2026/27 budget change may have shifted some categories to a tax on the amount wagered instead. Check with the Malawi Revenue Authority for the current position.
