By Chantelle Muzanenhamo
Zimbabwe’s rapid expansion of the betting and gambling industry has prompted a sweeping tax overhaul, with government sharply raising levies on operators and players in the 2026 National Budget.
Finance, Economic Development and Investment Promotion Minister Mthuli Ncube announced that the primary Bookmakers Tax will jump from 3 percent to 20 percent of gross revenues from January 1, 2026.
The increase applies to all licensed bookmakers, lottery operators and casinos, marking a 17-percentage-point rise.
The withholding tax on individual gambling winnings will also more than double, increasing from 10 percent to 25 percent.
Presenting the budget in Parliament of Zimbabwe, Ncube said the betting and gaming sector which includes sports betting and casino gambling has been growing at an annual rate of between 8 and 10 percent between 2023 and 2024.
He said while the industry’s growth has boosted revenues, it has also led to serious social problems, including addiction, debt, suicide and the loss of productive working hours, which he said had outpaced existing regulatory controls.
He further accused some operators of engaging in profit shifting and under-declaring revenues, resulting in the fast-growing sector being significantly under-taxed.
Under the new tax structure, the 20 percent levy on operators’ gross revenues will be treated as a final tax.
This means gambling companies will no longer be required to pay Corporate Income Tax.
Government said the move is in line with international trends, noting that the United Kingdom taxes remote gaming at 21 percent of gross profit, while New Zealand recently introduced a 12 percent offshore duty on online gambling profits.