The Kenya Revenue Authority (KRA) has reported a significant increase in excise duty collections from betting services, amassing Ksh 13.2 billion in the 2024/2025 financial year. The figure surpasses the projected target of Ksh 11.2 billion, reflecting a robust performance rate of 117.2 per cent.
According to KRA’s annual report released on Tuesday, August 5, the latest collections represent a notable rise from the Ksh 10.6 billion recorded in the previous financial year.
“This represents a 117.2 per cent performance rate, up from Ksh 10.6 billion collected in the previous financial year,” said Rispah Simiyu, Commissioner for Large and Medium Taxpayers.
The report also showed that Betting Tax outperformed expectations, with collections hitting Ksh 5.7 billion against a projection of Ksh 5.5 billion. This equates to a performance rate of 103.7 per cent and reflects a 22.0 per cent increase compared to the prior year.
KRA attributes the improved performance to its strategic Taxation at Source initiatives. These include the integration of betting firms’ systems with KRA’s digital infrastructure, enabling real-time transaction monitoring.
“This has enhanced compliance and transparency and facilitated effective collection,” the report noted.
Despite facing economic headwinds, Kenya’s tax agency has continued to demonstrate resilience in revenue collection. The 2025 Economic Survey revealed that the national economy grew by 4.7 per cent in 2024, down from 5.7 per cent in 2023, primarily due to global economic slowdowns and reduced domestic consumption and credit access.
Nonetheless, KRA’s total revenue collection for the 2024/2025 financial year stood at Ksh 2.5 trillion—marking a 6.8 per cent year-on-year increase.
“This growth demonstrates resilience and the importance of strategic targeting in mobilizing revenue from emerging sectors,” Simiyu said.
KRA reiterated its commitment to expanding the tax base through digital technology and strategic partnerships to promote fairness, efficiency, and transparency in tax administration.
“We remain committed to expanding the tax base through Taxation at Source initiatives to promote fairness, efficiency, and transparency in tax administration,” she added.
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