Key Moments:
- The Zambia Revenue Authority (ZRA) introduced mandatory monthly deadlines for the new 10% betting tax, requiring remittance by the 15th of each month.
- The first round of collections concerns September 2025 transactions, with subsequent payments due monthly on the same date.
- Major operators such as Betway and BetLion suspended operations after a court ruling upheld the excise duty, while betPawa continued under the new regime.
Overview of Tax Implementation
The Zambia Revenue Authority (ZRA) has taken firm action to enforce the new 10% betting excise duty. In its October 15, 2025 notice, the agency stated that operators must pay the tax on the total amount staked each month, with payments due by the 15th of the following month.
This tax collection forms part of the Customs and Excise (Amendment) Act No. 11 of 2025, adopted by Parliament on August 19. Moreover, the duty aims to raise funds for the K33.6 billion (€3.3 billion) supplementary budget.
The ZRA stated that payments for September 2025 must be made immediately. Meanwhile, October obligations are due by November 15, and the same pattern will continue each month.
Payment Process and Compliance Requirements
“Betting companies are required to compute and remit excise duty at 10 per cent on the total amount staked by the 15th of each month. All betting companies must manually compute the excise duty and make remittances using their Withholding Tax Accounts under the Lumpsum Payment option,” the authority said in a press release.
The ZRA has clarified that betting operators are fully responsible for the accurate calculation and timely submission of taxes. Failure to comply with the deadlines and requirements may trigger penalties in accordance with Zambian tax law. This regulatory posture increases the pressure on betting firms to remain vigilant in meeting their tax obligations.
Industry Reactions and Legal Developments
Several major industry players have responded strongly to the new tax. Some companies have sought court intervention to halt the excise duty’s implementation, emphasizing the perceived risks to their operations.
On October 3, the Constitutional Court decided against applications put forth by betPawa and Betway to block the tax. The court affirmed the ZRA’s power to administer the tax, describing it as a consumption tax to be ultimately borne by bettors.
Following the court’s ruling and under increased financial strain, Betway temporarily suspended its services, while BetLion also halted operations. Conversely, betPawa opted to adapt its offerings and has continued trading within the constraints of the new regime. The situation demonstrates the tangible consequences the excise duty has created for Zambia’s betting sector.
The court’s ruling has enabled the ZRA to enforce a “pay now, argue later” policy, allowing immediate tax collection even as legal disputes continue. The ZRA maintains that this excise duty was introduced after consulting industry stakeholders, and asserts it is intended to be absorbed by bettors rather than operators.
Monthly Excise Duty Deadlines for Operators
| Transaction Month | Payment Due Date |
|---|---|
| September 2025 | October 15, 2025 |
| October 2025 | November 15, 2025 |
| Subsequent Months | 15th of each month |
- Author
Daniel Williams
