Who’s Next? Betway’s Tax Case Raises Alarm Among Betting Firms in Kenya

BlueJay LTD, the parent company of the global gaming giant Betway, initiated voluntary liquidation proceedings at the Nairobi-based High Court of Kenya following a dispute with KRA (Kenya Revenue Authority) over a $40+ million (Sh 5+ billion) tax claim.

The move comes amid increasing regulatory scrutiny and is an addition to the growing list of companies bowing out of the country due to the hostile tax environment. While the future of this iGaming heavy hitter in Kenya is bleak, Betway is already expanding in other African countries, including Botswana, Nigeria, and Ghana.

Overview of Betway’s tax case

Betway is required to pay over $40M after the Tax Appeals Tribunal upheld KRA’s assessments. The TAT resolves disagreements between the Kenya Revenue Authority and taxpayers. While TAT set aside taxes associated with the 2016 financial year, they still confirmed most of the assessments. This includes excise tax and corporate income tax. As a result, this placed a heavy financial burden on Betway, forcing its parent company to file for liquidation.

What does filing for liquidation mean for Betway Kenya?

The decision to file for liquidation means that this will probably mark the end of the operator’s ten-year+ presence in Kenya, where Betway had established itself as the third-largest betting site in the country. The nation is known to have strict online betting regulations and has introduced more rigid measures after the National Assembly approved the Gambling Control Bill.

BlueJay challenges tax assessments

BlueJay challenged tax assessments made by KRA and disputed the Kenya Revenue Authority for withholding tax on gross gaming revenue and winnings. They also argued against ignoring standard business expenses and contested the $12-million penalty, which was struck down as invalid.

Pattern of betting firms exiting the Kenyan market

Betting firms operating in Kenya are required to pay a 15% tax on the CGR (gross gaming revenue) plus a 30% corporate tax on profits. It doesn’t stop there: the government of Kenya also charges them 16% income tax. What’s more? Players pay a 12.5% excise tax whenever they place a bet on a gambling platform, and another 20% withholding tax on every winning bet.

Before the Finance Bill 2024 was withdrawn, it was proposing the excise tax imposed on betting stakes to go from 12.5% to 20%. This caused concern among betting firms in Kenya, leading to betting companies starting their plans to bow out of the market.

More than 10 betting firms have exited the Kenyan market since last year, a trend that is expected to continue. Reports also suggest that more than 20 businesses across various sectors, including iGaming, showed signs of distress in just the first 3 months of 2025.

Betway – a reliable sportsbook and online casino

Pros and cons of Betway

Operator: Pros & Cons

• Extensive sports betting markets
• Top-quality casino games
• Attractive welcome package

• No phone support

Betway’s exit from the Kenyan market does not mean it is bowing out of Africa. The betting firm is still all-in on Africa and offers online gambling services to a whole host of countries on the continent. Betway is expanding its African footprint by awarding players from this continent great bonuses. While the specific offers vary by location, expect the operator to roll out the red carpet when you register.

For instance, Betway Botswana launched in 2024 and greets Botswana sports fans and casino players with an exclusive welcome offer. Licensed and regulated by the GA (Gambling Authority), the site is known for its fair play certifications, a broad spectrum of sports betting markets, and a diverse range of casino games that include 500+ slots, live dealer games, and table games.

You’ll find popular sports championships and leagues on this gambling platform, such as football, rugby, tennis, and cricket. The site also offers a range of betting types, including accumulators, player props, Asian handicaps, and match outcomes.

Wrapping up Betway’s tax case

Betway’s $40-million tax case is only the tip of the iceberg since it’s a clear sign that more betting companies will leave the Kenyan market because of punitive taxation. However, Betway still offers online betting services to other African countries with lax gambling laws.

They have exclusive sites for quite a number of African countries, including South Africa, Nigeria, Ghana, and Botswana. Players from these countries will snag a welcome bonus when they join Betway and meet the terms and conditions attached to the offer. Keep in mind that the welcome offer will vary from one country to another.