EDO BEGINS ENFORCEMENT OF POOLS BETTING RULES

                                    
The Edo State Internal Revenue Service has commenced the enforcement of the rules and regulations governing pools betting business in the state.

A statement signed by the Executive Chairman of the Edo State Internal Revenue Service (EIRS), Chief (Sir) Oseni Elamah said the rules were established with the aim of ensuring transparency in the conduct of pools betting business in line with the extant laws on pool betting/other tax laws as applicable in the state.

The statement listed some of the conditions under which promoters and agents are authorised to operate to include obtaining valid licence, presentation of personal income Tax Clearance Certificate (TCC), registration for Tax Identification Numbers (TIN); submission of bank guarantee of N5 million by promoters; individual payment of Personal Income Tax (PITA) by each of the agents as well as 10 percent withholding tax (WHT) on winnings through promoters.

According to the statement, the rules were established with a view to ensuring that only genuine individuals operate as promoters and agents.

It recalled that there were cases of promoters not willing to pay stakers’ winnings in the past, even after the 30 days period within which all payments were expected to be completed.

This, the statement said informed the increment of bank guarantee to N5 million in order for the EIRS to access the promoters’ bank guarantee towards offsetting stakers winnings.

It stated that the 10 percent withholding tax on winnings is a globally accepted one in the tax system, including taxes paid on all sources of income as well as winnings/other benefits in kind.

It therefore warned that any promoter/agent opposed, to obtaining valid licence/proper identification would not be allowed to operate.

The statement said that as a regulatory agency, the EIRS is responsible for identifying/licensing credibles persons that would operate as promoters/agent having fulfilled the criteria as contained in the rules/regulations.

While expressing the EIRS’ commitment towards protecting stakers against the whims of unscrupulous elements, the statement however maintained that anybody who kicks against obtaining the valid licence cannot be entrusted with the pool of funds raised by well-meaning, hardworking innocent members of the public.

It warned that anybody who transacts pools betting business with the sealed unlicenced promoters/agents would be prosecuted in accordance with the laws.