The fluctuation of excise duty tax on the gambling industry has been a key topic across Africa in 2024.
People continue to rally against the proposed 10% excise duty on all betting stakes in Zambia.
At the heart of the appeal against the tax were specific claims. These claims argued that it breached section 7 of the Customs Excise or Amendment Act No. 11 of 2025. Objections included an alleged lack of transparency, inadequate public consultation, as well as severe economic impact.
They also claimed that the tax was excessive, ambiguous, and unimplementable. Additionally, they argued it was financially unsustainable and warned that it could affect their ability to operate in the country in the future.
Nevertheless, the Zambia Revenue Authority (ZRA) stated that the excise duty applies to bettors’ consumption, not operators. The authority also affirmed that it had consulted with stakeholders on the decision.
The operators sought an interim injunction to halt the enforcement of the excise duty. They intended for this to remain in effect until the full hearing of their constitutional petition.
ZRA countered the tax was lawful and implementable in its current form. The organization emphasized that any interference at this stage would be an encroachment on its statutory duty.
The Court ruled that the petitioners failed to show a sufficiently serious constitutional issue to justify suspending the law at this stage. This decision appears to solidify the future of excise duty in Zambia.
Notably, Zambia’s 10% figure is intriguing, as it falls between Kenya’s previous 15% threshold and its recently lowered 5% rate.
Kenya also made a subtle but significant change in how it collects excise duty. Instead of taxing bets when placed like Zambia, Kenya now collects the tax when users transfer funds from a mobile-money wallet to their betting account.
