Kenya: High Court issued judgment dismissing petition challenging constitutionality of betting-related taxes

On 14 August 2025, the High Court delivered a judgment dismissing a petition challenging the enactment and implementation of the 12.5 % excise duty on the amount staked by persons participating in betting activities, alongside an existing 20% withholding tax on winnings, on grounds of alleged unconstitutionality, discrimination under Article 27 of the Constitution, and double taxation. The excise duty was established under Paragraph 4A of Part II of the First Schedule to the Excise Duty Act, 2015, as amended by the Finance Act, 2023. The Court held that the legislative process undertaken by the National Assembly complied with Article 95 of the Constitution, that excise duty on amounts staked and withholding tax on winnings are distinct levies, and that gross gaming revenue under section 29(a) of the Betting Lotteries and Gaming Act (Cap 131) is a separate tax imposed on betting companies. It therefore found no contravention of Article 2(4) of the Constitution and determined that the provisions were valid and enforceable.