Benin Introduces new Gambling Tax to Boost Revenue and Strengthen Regulation.

Benin’s government has introduced a new gambling tax to boost state revenue. The enactment of Law No. 2024-34 (Finance Law 2025) on December 12, 2024, establishes a regulatory framework for both land-based and online gambling. Previously, regulations focused only on traditional gambling methods.

Under the new law, land-based casinos must pay a 10% levy on their gambling turnover, while online gambling operators face a 25% tax on winnings. The government differentiates between traditional gambling and remote gambling, which includes websites, mobile apps, and USSD-based lotteries.

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Authorities expect this tax system to generate approximately US$25 million annually, directing the funds toward social and infrastructure projects that will improve citizens’ quality of life. The law also aims to recover revenue lost to offshore gambling websites and unregulated operators. Beyond taxation, the government seeks to strengthen player protection, prevent minors from engaging in gambling, and curb money laundering and terrorism financing.

Despite these efforts, enforcement poses challenges. The Benin National Lottery Authority (LONAB) oversees compliance, but cracking down on illegal operators remains difficult. Unlicensed gambling venues evade taxes, offer larger payouts, and undermine legal businesses, complicating regulatory efforts.

Experts are urging the government to impose stricter laws and enhance enforcement to create a fair and secure gambling environment.

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