The casino industry survival is under threat in Kenya. Casinos in Kenya cautions the government about the loss of 10,000 jobs if they persist with the 35 per cent tax on revenue.
In a letter to the Betting Control and Licensing Board (BCLB) the Golden Key Casino Director, Martin Dunford brought to the focus of the government about the potential loss of 10,000 jobs in the Kenyan casino segment, if a 23 per cent rise on gaming revenue taxes stands.
Casinos pay a 12 per cent tax on turnover lately. In Mr Dunford’s perspective, the business “doesn’t see how it can possibly survive a tax of 35 per cent on gross revenue” as they “can only consider cessation of operations to avoid continual losses.”
They argued “We cannot pass on the 35 per cent tax to consumers by changing our odds or increasing our income,” and added : “If we are forced to cease operations, we will lose trained employees and pay terminal dues, making it very difficult to revive the industry at a later date.”
The sector is fighting hard to survive in a hostile environment. Kenyan authorities and casino executives are trying to overturn their position. The Association of Gaming Operators Kenya, Chairman Ronald Karauri stated: “Most of them (casinos) are saying we would rather just close.”
Source: European Gaming News