Gambling Taxes Increased

November 27, 2009 Taxation in Bulgaria  No comments

RouletteThe National Assembly of Bulgaria has approved the increase on all of the country’s gambling taxes to a unified rate of 15%.

On November 26th, the National Assembly of Bulgaria voted and approved amendments to the country’s Corporate Income Act, which will see levies on sports gambling, casino games, the lottery and any other gambling activity being taxed at 15% of their annual revenue. Also, quarterly taxes on gambling machines will be set at BGN 500 (approx EUR 250) , while a roulette table will attract a tax liability of BGN 22,000 (approx EUR 11,000).

Currently, sports gambling is taxed at a 10% rate, and all other types of gambling are levied at 12%. Quarterly taxes on gambling machines are currently set at BGN 300 and roulette tables are charged BGN 18,000. The gambling tax rise is estimated to increase tax revenue in 2010 by over BGN 30 million from it’s current estimated total of BGN 117 million.

According to a survey commissioned by Simeon Djankov, Bulgaria’s Finance Minister, approximately 60% of Bulgarians are in favor of gambling tax increases. The popular opinion was reflected in the National Assembly of Bulgaria as the increase was passed with a unanimous positive vote from the 149 members of National Assembly. Contrary to public opinions and parliamentary action, the Bulgarian Association for Entertainment and Gambling Games is steadfastly against the move, claiming that the tax increase could put the risk of redundancy on half of the gambling industry’s employees, and significantly decrease state revenue.

Photo by discopalace

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