John Dramani Mahama, the Presidential candidate for the National Democratic Congress (NDC), has promised to abolish the Bet and Lottery Tax if he is voted into power. He made this assurance during a town hall youth engagement at the Bukom Boxing Arena in Accra.
At the event, a concerned youth asked Mahama to address the issue of the 10% tax on bet winnings. The questioner expressed how difficult life has become for those who depend on betting to make ends meet. He highlighted how the tax is a burden, especially when people are taxed GH₵100 out of a GH₵1000 withdrawal, making it challenging to survive.
In response, John Mahama acknowledged the difficulties caused by the tax. He explained that the current government introduced the tax after seeking help from the International Monetary Fund (IMF) as a way to generate revenue. However, Mahama assured the youth that his administration would find better ways to boost the economy without burdening them. He confidently stated, “The Bet tax, we go remove am,” signaling his intention to eliminate the tax.
The 10% withholding tax on bet and lottery winnings was passed by Parliament in August 2023. It aimed to raise revenue to address the financial challenges faced by the Ghanaian economy. However, the tax has faced significant backlash, especially from the youth who engage in betting and lottery activities. They have expressed their disapproval, arguing that the tax is unfair and adds to their struggles.
In October 2023, the Ghana Revenue Authority announced that it had generated GH₵15 million within a month from the bet and lottery withholding tax. Despite this, the tax remains unpopular among many Ghanaians, particularly the youth, who see it as an additional burden in an already tough economic climate.
Mahama’s promise to abolish the tax has sparked hope among the youth, who see it as a potential relief from the financial pressures they face. As the election approaches, this pledge may play a significant role in swaying young voters in his favor.
