It has emerged that winners of lotto and betting games in Ghana will pay a 5% tax on their earnings.
This was revealed by a deputy commissioner in charge of policy and programmes at the Ghana Revenue Authority (GRA), Edward Gyamerah during a breakfast meeting organised in Accra by Graphic Business and Stanbic Bank on Tuesday.
According to him the new income tax act was introduced by government and took effect from January 1, 2016.
“Per the new act, winners of lotteries who make about GHc2, 592 and above will pay 5% tax.
“One of the new introductions in the new law is the recognition of lottery activity as an investment activity. So if you engage in any lottery business or activity, the tax law recognizes it as an investment activity and therefore when you make any claim, you pay tax on your investment income,” he stated.
However, if one wins GHc2, 000 and below there will be no tax paid.
Lotto and betting games are highly patronised across the country and we are yet to find out how people we react and respond to this new directive.