‘Betting isn’t ideal, but it’s solace for many’ – Felix Kwakye Ofosu defends removal of winnings tax

Government spokesperson, Felix Kwakye Ofosu, has defended the decision to remove taxes on betting winnings.

He argued that many young people rely on betting as a means of survival due to economic hardship and lack of employment opportunities.

Speaking on JoyNews’ Roundtable on Wednesday, March 12, during discussions on the 2025 budget, Kwakye Ofosu acknowledged that while betting is not the “most desirable” activity for young people, it has become a source of solace for many who are struggling financially.

“We find that there were many youth who were driven into that activity because of hardship and the need for them to find something to do to make ends meet,” he stated.

“It is not the most desirable of occupations, or if you like hobbies, but at the moment, many people are finding solace there.”

He explained that taxing the winnings of bettors, especially when jobs have not been created for them, only worsens their economic situation.

“Do you create difficulty for them by going to tax their meagre winnings when you have not been able to give them employment and they are struggling to find their feet?” he questioned. “We believe that it is important to remove that particular tax on winnings.”

Kwakye Ofosu, however, stated that betting companies themselves will not be exempt from taxation.

He clarified that they will continue to be taxed like any other business, paying corporate income tax and other applicable levies.

“Government is taxing betting companies on their earnings like any other business, so they pay corporate income tax like any other business and are subject to any other taxes charged on businesses,” he assured.

“But as for the betting companies, there’s no way they are escaping taxation.”

He noted that the removal of the tax on winnings has been well received by the public, describing it as a decision that reflects the government’s responsiveness to the struggles of young people.

“I think that it is something that has been widely received, well received by people, and it shows that it was something that was really suffocating people and we needed to do something about it,” he added.

Source: myjoyonline.com