Mark Badu Aboagye, the Chief Executive of the Ghana National Chamber of Commerce and Industry (GNCCI), thinks the betting tax rate currently in operation is ineffective.
The rate, which according to Mr. Badu Aboagye, is to curb gambling activities, is not achieving its aim and has asked that it be revised.
He has asked that the rate rather be increased by the government to deter people from engaging in it.
“If you want it [betting tax] to be effective, you rather have to increase it. Otherwise, it is totally waste,” he said on Accra-based JoyNews Thursday, January 23, 2025.
He contends the current 10% rate is a percentage too small to deter people from betting activities.
He, however, questioned the sources of income of such persons, adding that they will seek alternate sources since they do not have any.
“The issue has to do with whether those who are involving themselves in the burden, whether they have alternative sources of income. They don’t have alternative sources of income, so now they will do that,” he explained.
He raised concerns about the contribution of betting to national development, saying a gambler makes no significant input to a country’s Gross Domestic Product (GDP), unlike when such persons are earning income from the agriculture, manufacturing and other sectors where they would be contributing to the state as well.
“If you bet, you are not adding significantly to the national income. But if you are productive, you are within the agriculture sector, in the manufacturing sector, you are making your money, and you’re also adding it to the GDP,” he noted.
“The betting is people being emotional with somebody sitting in his/her home when there’s no productivity,” he stated.
The Finance Minister, Dr. Cassiel Ato Baah Forson, during his appearance before the Appointments Committee, reiterated that the government was going to scrap the betting tax in its first budget.
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