Betway hit with £1m back-tax bill by Kenyan tribunal

Business News

Betway Kenya has been ordered to pay taxes amounting to Sh158 ( £1m ) million to the Kenya Revenue Authority.

A recent tribunal ruled in favour of KRA in a case in which the international betting firm, M/S BlueJay Limited, trading as Betway Kenya, objected to payment of tax obligations totalling Sh158 million.

Betway Kenya wanted to stop KRA from demanding additional withholding tax on winnings derived from bets placed by punters and Pay As You Earn (PAYE) on the earnings of one of its employees, John Felix Kittony, whom the company alleged to have retained as an independent consultant.

The tribunal ordered the company to pay all the taxes it had agreed to pay with regard to Withholding Tax on professional fees of Sh9.95 million and Capital costs relating to research and processing costs of Sh16.5 million and outstanding Withholding Tax based on gross winnings of Sh131.7 million inclusive of penalty and interest as at the time of assessment.

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