South Africa proposes new tax regulations for casinos

The National Treasury and the South African Revenue Service (SARS) have released draft tax bills and regulations for 2024 FY, inviting public feedback on the proposed changes until August 16 and 31.

Among the key proposals is a new approach to value-added tax (VAT) concerning casino games. Due to the complexities of determining VAT liability for games of chance, SARS is suggesting revised definitions for "Gross Gaming Revenue," which would be subject to taxation. These changes are set to take effect from January 1, 2025.

The draft regulations aim to clarify and expand upon the tax proposals initially presented in the 2024 Budget Speech, addressing various stakeholders' concerns about the implications for the casino industry.