Uganda's land-based casinos will now be subject to a 15% winnings tax, following a new proposal to amend the Income Tax (Amendment) Bill 2026. This change comes at the direction of President Yoweri Museveni, who has advocated for the removal of an earlier exemption that allowed these casinos to avoid including the tax on their winnings.
Under the new regulations, the 15% withholding tax will apply to net winnings, aligning it with the existing tax framework for online betting and gaming operations. This move addresses the previously existing imbalance between the taxation of online and land-based gaming activities.
The Ugandan government anticipates that this adjustment will boost tax income to Shs65 billion ($17.5 million). Maximus Ochai, chairperson of Uganda’s Committee on Finance Planning and Economic Development, commented that abolishing the exemption will guard against tax avoidance and revenue loss, as it prevents uneven tax treatment of similar gaming activities based solely on their operating platform.
Earlier this year, Uganda also passed the Lotteries and Gaming (Amendment) Bill 2026, establishing a unified 30% tax rate for both betting and gaming operations. Previously, the tax rate for betting activities stood at 20% due to the perception that it posed a lower risk to players compared to gaming.
According to H2 Gambling Capital, Uganda's interactive gaming sector generated $435.3 million in gross win in 2025, and projections indicate it could exceed $1 billion in annual gross win by 2029.
Uganda is not alone in revising gambling tax policies; other African regions are also adapting their frameworks. Last year, Kenya introduced a 5% levy on betting wallet withdrawals and a 5% excise duty on deposits. Additionally, in February 2023, Lagos State in Nigeria implemented a 5% withholding tax on player winnings.
