Russia is close to increase gaming taxes

The gaming tax rates regulation has been published at the government’s website.
The gaming tax rates regulation has been published at the government’s website.

Gaming companies from all sectors would face an increase in its monthly tax fees.

Russia.- The Russian government is near confirmation of the expected increase in national gaming tax fees for all legal sectors of the industry. The Federal Finance Ministry released the two-fold regulation on its website yesterday.

Under the new law, casino operators would pay RUB$250,000 (US$4,000) per gaming table. The companies have been paying RUB$ 50,000 (US$800), whilst the tax rate on slot machines would increase from RUB$3,000 (US$50.43) to RUB$15,000 (US$252.15).

Furthermore, the processing centre for bookmakers would grow from RUB$50,000 (US$840.50) to RUB$250,000 (US$4,202.50). For the online sector, the bet processing centre would be kept at the same rate of RUB$2.5 to 3 million (US$50,430). Meanwhile, the betting shop tax would increase from RUB$10,000 (US$168) to RUB$14,000 (US$235).

Although the local media has confirmed the entry into effective of the law, the Union Gaming commented that the negotiation has not been completed yet. The analysts also added that the tax rates will vary depending on the gaming area. As an example, the statement revealed the effect on Primorye centre: “We note that the rates paid in Primorye are already in the middle of the band that might be established at the federal level. In a worst case scenario, the local government in Primorye could double the current tax and be in line with the top-end of the range established at the federal level. We do not believe the local government in Primorye has indicated they will move the taxes in either direction.”