It is a win for sportpesa and bettin as KRA loses bid to have 20 percent tax charged per bet in winnings.
Tax appeals tribunal ruled that 20 percent tax should be charged between the payout made and the stakes placed in a given month.
More than 20 betting firms have denied operating in the country without licenses in cases between them and KRa.
This has also affected major companies such as SportPesa and Betin.
KRA has been demanding Sh61 billion from the betting firms for a period between May 2014 and March 2019.