Gambling in Latvia: tax rise and restructuring of regulation to come earlier than expected
The government has announced plans to disband the current gambling regulator earlier than expected.
Latvia. Finance minister Arvils Ašeradens has announced plans to accelerate the government’s overhaul the regulation of gambling in Latvia. The government intends to increase tax on the sector earlier and to disband the current gambling regulator, the Lottery and Gambling Supervision Inspectorate or Izložu un azartspēļu uzraudzības inspekcija (IAUI), earlier than expected.
The regulator will be absorbed into Latvia’s State Revenue Service (SRS) on April 1, 2026. The move is intended to eliminate waste and overlap between the two agencies and increase financial oversight, centralising functions such as licensing, tax administration, enforcement, and anti-money laundering controls.
According to Ašeradens, the new unified supervisory structure under the SRS will “accelerate management integration, optimise resource use and improve service delivery.”
The regulatory change will follow a rise in gambling tax rates from January 1, 2026. The annual fee for physical gaming machines will rise from €6,204 to €7,440. Table games such as roulette, cards, and dice will be taxed at €40,440 a year , up from €33,696.
Revenue-based taxes will also increase. Telephone-based games, betting, and wagering will be taxed at 18 per cent (up from 15 per cent), bingo at 12 per cent (previously 10 per cent), and online gambling at 15 per cent (up from 12 per cent).
The Finance Ministry projects that the changes will yield an extra €9.2m, with €9m to go to the national budget and €175,000 allocated to local governments.
See also: Riga resurrects plan to ban gambling halls
The move forms part of a plan to bring in an extra €565m per year. The government plans to spend an extra €320m for national security, €94.8m for family welfare and €45m for education. Additional tax measures to support that include a phased increase in tobacco excise duties and on alcohol
