Modernization of tax collection for online gambling will be easy as the Nigerian government signs an agreement with UK-based Fintech company E-Technologies.
Sentinal, an E-Technologies’ National Payment Gateway software, is a technology system that instructs providers to deduct taxes at the point of transaction. The system will be used by the Federal Inland Revenue Service of Nigeria.
The upcoming operators will be given an application for a five-year permit to provide online gaming and sports betting services to players in Nigeria.
The operators can connect to Sentinal, where gaming fees will be removed from customer deposits and transferred to the government treasury.
“This is a difficult time in the world where it is necessary for the governments to increase tax revenue as part of GDP.”- Mohammad Nami of the Federal Inland Revenue Service of Nigeria.
Lanre Gbajabiamila, director general of the National Lottery Regulatory Commission of Nigeria, said: “Online gaming is growing fast in Nigeria, especially on mobile. Accepting E-Technologies’ Sentinal National Payment Gateway is a big move.”
“We are accomodating every eligible remote gaming operators to apply for an offshore operator permit as long as they pass the eligibility tests.”
E-Technologies CEO David Kicks commented: “This deal will start a new era in the growing new regulated markets for responsible gaming operators.”
He added, “It is an exciting moment for us to see the government decide to implement the system.”