South Africa’s Treasury delays online gambling tax design until 2027 budget

South Africa's National Treasury has said the final design of a proposed national online gambling tax will be announced in the February 2027 Budget, according to Finance Minister Enoch Godongwana's Medium-Term Budget Policy Statement. The proposed 20% rate is not final, and consultations on the design continue.

The tax was first put forward by National Treasury in November 2025 and would apply in addition to existing provincial gambling taxes. A discussion paper proposed a 20% national tax on gross proceeds from interactive and online gambling. Treasury estimated the measure could raise an additional R10bn for the state and help address harm associated with compulsive gambling.

In January 2026, critics questioned the proposal's constitutionality and its effect on provincial regulatory powers. The South African Responsible Online Gambling Association (SAROGA) and Sun International, among other industry stakeholders, said the proposed 20% levy could disadvantage licensed operators and drive players to unregulated offshore platforms.

According to Godongwana, most of those who made submissions agreed that online gambling's expansion and the harm it brings must be tackled. Work on the tax's design is still under way, he said, covering how it would relate to the current regulatory system and what it would mean for provinces and for the market that is already regulated, despite the close of the public-comment window. He gave no date for the tax to start operating.