The Ghana Revenue Authority (GRA) is set to implement the 10% withholding tax on lottery winnings effective today, January 1, 2024.
According to the GRA, the tax is also applicable to betting, gaming, and other games of chance. This comes after a six-month grace period granted to the National Lottery Authority (NLA) and Private Lotto Operators (PLOs) for adequate preparation.
“The extension expires in December 2023, and, therefore the NLA and the PLOs are required to commence the implementation of the withholding tax on Lotto Gross winnings effective January 2024,” a statement from the GRA said.
The statement urged patrons, players, punters, operators, and tax consultants to take note of this directive.
Furthermore, the GRA warns that failure to comply with the implementation will be considered an offence under Section 78 of the Revenue Administration Act, 2016 (Act 915).
According to the Act, offenders are liable, upon summary conviction, to a fine ranging from not less than 1,000 penalty units (GHS12,000) to not more than 2,500 penalty units (GHS30,000).
Additionally, offenders may face imprisonment for a term of not less than two years and not more than five years or a combination of both penalties. Stakeholders in the lottery and gaming industry are urged to adhere to the new regulations to avoid legal consequences.
