Finance Minister Enoch Godongwana told Parliament on Wednesday 21 October that the final design of the proposed national online gambling tax will be announced in the February 2027 Budget, ITWeb reported. He made the statement while presenting the Medium Term Budget Policy Statement (MTBPS).
"Consultations are ongoing on the proposed tax design, its linkages to the existing regulatory framework, and the implications for provinces and the currently regulated market," he said, as quoted by MyBroadband. He added that submissions "generally recognised the need to address the growth of online gambling and its associated harm", eNCA reported.
Where the proposal stands
| Stage | Detail |
|---|---|
| Discussion paper | Published by National Treasury in November 2025 |
| Proposed rate | 20% of gross gambling revenue from online betting and interactive gambling |
| Public comment | Closed on 27 February 2026, followed by stakeholder workshops |
| Final design | February 2027 Budget |
The dates and rate are from MyBroadband and eNCA. We covered the original proposal in our earlier article on the 20% tax.
The money involved
Gross gambling revenue is the amount bet minus winnings paid out. Licensed bookmakers already pay VAT and provincial gambling taxes of about 18% to 19% of that revenue, and the new tax would come on top, according to ITWeb. Treasury estimates the extra tax would raise more than R10 billion for national government. The online gambling industry has argued the proposal is unconstitutional and would push players and operators towards offshore sites, ITWeb added.
What it means for you
Nothing changes for players yet. The tax, if it comes, is levied on operators, not on your winnings. What is unknown is how operators would respond to a higher tax bill, for example through smaller promotions. We will update this page when the Budget is tabled in February. In the meantime, stick to operators licensed by a provincial board and keep your deposit limits in place.