The European Lotteries has expressed disapproval of governments taxing lottery wins and slapping levies on the gaming industry.
European Lotteries Head of Legal, Phillipe Vlaemminck, speaking to the B&FT
during a training programme on responsible gaming hosted by the National
Lottery Authority (NLA) in Accra said: “Lottery already touches society in many
positive ways, and as such it is important for some governments to relook at
taxing the industry”.
He argued that people want to play, and they want to ensure the small amounts
which are won do not attract taxes.
Described as a game of chance that benefits society, Vlaemminck emphasised that
it is very unnecessary for governments to tax winnings on lottery, adding:
“That is the standard in many places such as the rest of Europe, the Americas
and Asia which are tax-free for winnings because the whole profit is given back
to society”.
The Ghana Revenue Authority (GRA) currently collects a 10 percent withholding
tax on all lottery winnings as income from lottery operations, and they are
also subject to a tax rate of 20 percent on Gross Gaming Revenue (GGR).
Vlaemminck pointed out that when players lose, it is society that benefits
through developmental projects; and lottery only offers opportunities for
people to dream, thus when they lose, society wins.
He however said Ghana operates a very dynamic lottery in Africa and touts the
NLA as a leading gaming operator on the continent.
The European Lotteries noted that the NLA has shown deepened commitment and
interest in what is happening at the world level in the industry, a phenomenon
which enhances knowledge-sharing and makes the Authority a responsible gaming
operator.
Speaking at the training, the Director-General of NLA, Sammi Awuku, said the
programme is key in helping the Authority to track and clamp down on illegal
lottery strategies in the system.
Mr. Awuku explained that the training, which is a certificated-programme, will
help the lotto marketing companies and private lotto operators to understand
the negative impacts of illegal lotto operations on their own revenues and how
they can assist the NLA in curbing the menace.
He said the NLA is ready to partner the European Lotteries in any meaningful
way, including adopting the usage of AI and technology in the lottery industry.
At the training, sessions were held on responsible gaming, fighting illegal
lottery operations, anti-money laundering and the use of new technologies in
gaming.
Source: BBC