The Ukrainian gambling sector’s tax bill was finally approved by the Committee on Finance, Tax, and Customs Policy. The document presents a 10% general tax rate for all the directions in gambling, while the previous one had diverse taxation levels. Login Casino follows the latest legislative news in gambling, explaining the changes to the Ukrainian gambling law.
The penultimate step towards accepting the taxation rate for Ukrainian gambling law was made at the end of February. Thus, the Committee on Finance, Tax, and Customs Policy confirmed that 10% tax would be imposed for all the directions, even though the previous version had diverse rates for various sectors. Nonetheless, this innovation still should be approved by the Ukrainian parliament – Verkhovna Rada.
Along with the 10% tax rate, the bill confirms an 18% general income tax that is obligatory for businesses that suggest gambling activity in the country. At the same time, the bill nullifies the triple fee for licenses and imposes personal income tax and standard military duty if the winning is more than eight minimum wages rate (UAH 48 000).
What was wrong with previous tax rates?
The Ukrainian Gambling Commission (KRAIL) sees the new rates as more effective than the previous ones. According to the early drafts, the betting sector should pay 5% GGR, online gambling and lotteries 10% GGR, while slot machines had the highest tax rate – 12.5%.
Even though the Ukrainian law assumes the coming of the international brands to the local market, only a few local operators are on the way to receiving the license for all kinds of gambling activity.
Read more: Why do GGR and NGR exist simultaneously?
Read more: How far is Ukrainian gambling legislation from other European gambling laws?