URA to regulate all betting withdrawals

The Government of Uganda is working hard to make betting and gaming activities more transparent and to collect more taxes from this fast-growing sector. To do this, they have introduced a new proposal called the Tax Procedures Code (Amendment) Bill, 2025.

This bill was officially shared on March 25, 2025, and is known as Bill No. 9. It was presented by the Minister of Finance, Matia Kasaija, and brings several important changes to the current tax laws.

A New Payment System for Betting

One of the biggest changes in this bill is the plan to create a central payment system for all gaming and betting activities. This system will be licensed by the Bank of Uganda and monitored by the Uganda Revenue Authority (URA).

From now on, all money placed in bets and all winnings paid out must go through this central system. This will stop operators from hiding their real earnings and will help the government see all transactions clearly.

The law clearly says: “A betting or gaming business can only receive bets and pay winnings using the central payments gateway system approved by the Bank of Uganda.”

If a betting company doesn’t follow this rule, they will face serious penalties. The law states that any operator not using the central system will have to pay double the amount of tax they owe, or a fine equal to 5,500 currency points — whichever is higher.

With this new setup, URA will manage all betting payouts to make sure the right taxes are collected. The Uganda National Lotteries and Gaming Board (NLGB) aims to collect UGX 300 billion from gaming in the 2024/2025 financial year.

According to NLGB Executive Director, Denis Mudende, many gaming operators are now being connected to the National Central Monitoring System. This digital system helps the board monitor daily transactions and ensures accurate reports from operators.

Using Technology to Monitor Mobile Betting

Uganda is also using high-tech tools to track betting done through mobile phones. The country uses TIMS (Telecommunications Intelligent Monitoring System) and DMS (Data Monitoring System), both created by Global Voice Group (GVG), to keep an eye on mobile money transactions linked to gambling.

These systems were introduced in 2016 and 2018, and since then, they have helped URA see and tax mobile betting activities in real time. Today, about 92% of online bets in Uganda are made through mobile money.

Thanks to these tools, URA collected over $26 million in gaming taxes recently — a huge jump from just over $5 million in the 2019/2020 fiscal year. In fact, from 2021 to 2022, tax revenue from gaming increased by more than 300%.

A Step Toward Better Governance

Experts say this move is part of a larger plan by the government to improve digital governance. Uganda wants different agencies to work together and use real-time data to manage taxes better and increase revenue.

The changes in the Tax Procedures Code (Amendment) Bill, 2025, show that Uganda is serious about using digital systems to control the betting industry, stop tax cheating, and grow its income. With the betting business growing quickly, this law could be a big step in the right direction.