Proposed gambling surcharge would more than double operators' effective tax rate

Effective tax burden as % of gross gaming revenue (GGR), South Africa; proposed surcharge based on industry estimates

Provincial gambling taxes
Effective VAT
Proposed surcharge
18%–19%
current effective burden before corporate income tax
40%
effective rate ceiling under proposed regime
The proposed surcharge would push operators' total effective burden to nearly double its current level before corporate income tax is even applied — a threshold that industry figures warn could make large parts of the licensed sector unviable.