John Dramani Mahama, the presidential candidate for the National Democratic Congress (NDC), has made a significant campaign promise: to eliminate the 10% withholding tax on sports betting and lottery winnings if he secures victory in the upcoming election.

This tax, introduced in August 2023 by the ruling New Patriotic Party (NPP) under President Nana Addo Dankwa Akufo-Addo, is currently applied at the payout point for all betting, gaming, and lottery wins.

The measure was implemented as part of the government’s efforts to increase domestic tax revenue and tackle the country's economic challenges.

However, it has been met with considerable backlash, particularly from the youth, who are strongly opposed to the policy.

Speaking during the NDC’s Town Hall Conversation at the Bukom Boxing Arena on Monday, Mahama addressed a question regarding the tax, stating, "We’ve discussed this extensively; if we come into power, we will abolish the betting tax.

We understand that this government has committed to the IMF to implement this tax, but when we take office, we will identify an alternative revenue source to replace it."

The Ghana Revenue Authority’s Domestic Tax Revenue Division has reported that the tax generated GH¢15 million in just one month. Despite this financial success, the tax remains highly controversial.

As Mahama prepares to contest the December 2024 election against candidates like Dr. Mahamudu Bawumia, Nana Kwame Bediako, and Alan Kwadwo Kyerematen, his pledge to abolish the betting tax underscores his commitment to finding alternative revenue streams.

This stance also reflects a broader critique of the current administration’s tax policies, resonating with widespread dissatisfaction among Ghanaian bettors.

Mahama’s promise to eliminate the betting tax could become a pivotal issue in the election, appealing to voters who are critical of current economic measures and seeking relief from what they view as burdensome taxation.

His proposal adds a crucial element to the electoral debate, highlighting the impact of fiscal policies on the daily lives of Ghanaians.