Ukraine gambling legalization to boost economy by $189 million in taxes

iGaming regulation is a priority to Ukraine and local government expects that the battle against illegal gambling will generate major tax revenues! Danylo Getmantsev, Ukraine’s chief of the Financial, Tax and Customs Policy Committee, underlined that in 2020 legal gambling market would offer about $189 million in tax revenues.

In an interview Getmantsev said that gambling legalization would significantly restrict illegal gambling operations in Ukraine: “The Finance Ministry estimates that the state is expected to receive UAH 4.5 billion from gambling this year. The bill [on the legalization of gambling] will not be of benefit to institutions that are operating illegally today”.

The existing law allows gambling only at five-star hotels in Ukraine will remain intact, added Getmantsev, although opposition remains critical of the government’s plan to legalize gambling only in this section.

Note that, less than a month ago, the gambling legalization bill failed to pass parliament, but the government will give it another try in the attempt to fight illegal gambling operations.

After the bill failing to be voted, Ukraine’s government introduced an amendment to the tax code bringing tax rate on gambling operations down to 10% from 18%.