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Uganda’s government set to raise gaming taxes to 30%
Politicians in Uganda have proposed to introduce the Lotteries and Gaming Act 2026, which aims to increase the gaming tax to a uniform 30% GGR rate, with the bill coming into effect on July 1, 2026, if passed.
The government has also proposed the Income Tax Bill 2026, which pushes to add a 15% withholding tax on net winnings from betting and gaming activity, and will come into force at the same time as the betting tax bill.
The amendments were suggested by Henry Musasizi, the Minister of State for General Duties of Uganda, and Matia Kasaija, the Minister of Finance, Planning, and Economic Development.
For gambling taxes, there is a two-tiered system in Uganda because the sector is considered more harmful for players. As a result, the tax rate for gambling was changed from 20% to 30%.
If the betting and gaming tax is also increased to 30%, Uganda will have one of the highest tax rates on the continent. Operators have criticized the tax reforms, stressing that the higher taxation can push smaller companies out and lead players to illegal platforms.
The proposals have now moved to parliamentary committees for review before a final vote is cast. For context, Uganda’s illegal gambling market generated around $114.8 million in 2025, which was more than 26% of the total market revenue.
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