Latvian Government Raising Gambling Taxes In New Budget Plan
The Latvian government has put a rise in gambling tax as part of its new budget plan. This will mean that slot machine tax will rise to 7,440 euros per year from 6,204 euros previously. Then your roulette, card games and dice tables will rise to 40,440 euros per table per year from 33,696 euros in previous years.
The revenue tax on telephone gambling and betting will rise to 18% from 15%, bingo will rise from 10% to 12% and then online gambling will rise to 15% from 12%. The changes the government proposes are expected to bring in an extra 9.2 million euros in 2026 with some going to municipalities and the majority going to the state.
They also expect to add a hefty 565.5 million euros in special funding for 2026 which will be divided 94.8m for family support, 45m for education, 320.3, for security and 105.4m for other priorities.
The vast majority of this will come from spending cuts but the add taxes proposal will add extra income.
It will go to cabinet on the 14th October and to parliament the next day to see if the 2026 budget gets the go ahead from ministers.
As it stands gambling is regulated by two bodies which is the IAUI who handles licenses and compliance and then SRS which oversees taxes. The Finance Minister Arvils Aseradens has said the faster tax rises and the early closure of the Independent Authority for the Supervision of Lotteries and Gambling (IAUA) will simplify regulations and also cut costs. Both of the bodies share similar duties like investigations and anti money laundry checks which is seen as inefficient as not financially sensible.
Overall, the reforms show the government expects the gambling industry to contribute more to public finances, in line with similar moves across Europe.