The Government has moved to bring betting, lotteries and gambling services within the scope of Value Added Tax, in a new amendment gazetted this month.
In Statutory Instrument 79 of 2026, the Minister of Finance, Economic Development and Investment Promotion amended the Value Added Tax (General) Regulations of 2003. The changes were made in terms of section 78 of the Value Added Tax Act.
Under the amendment, a new paragraph has been inserted into the First Schedule of the principal regulations. Paragraph 28 now specifically lists the “Supply of betting, lotteries and gambling services” as a taxable supply for VAT purposes.
The effect of the change is that operators in the betting, lottery and gambling sector will now be required to register for VAT, charge VAT on their services, and account for the tax to the Zimbabwe Revenue Authority in line with existing VAT rules. Previously, these services were not expressly listed in the First Schedule and therefore fell outside the standard VAT framework.
Tax authorities have been broadening the tax base in recent years to cover growing sectors of the economy, including digital and entertainment services. The inclusion of betting and gambling services aligns with regional practice where most jurisdictions already apply consumption taxes to gaming.
Industry players will now need to adjust their systems to ensure compliance, including issuing VAT-compliant fiscal invoices and filing regular VAT returns. Consumers may also see the impact in the pricing of bets, lottery tickets and other gambling products, as operators pass on the 15% standard VAT rate.
The amendment comes into effect on the date of publication and forms part of Government’s broader fiscal measures under Vision 2030 and the National Development Strategy 2 to enhance revenue collection and ensure fairness across all sectors.
