The government of Ukraine has reinstated an 18% tax charge to be applied on online casino turnover.
The decision was confirmed via a telegram of Danylo Hetmantsev. Chairman of the Verkhovna Rada’s Finance Committee.
The tax charge was reinstated on 10 August, following an update to Article179 of the Ukraine tax code.
The change to the tax code was authorised as the Finance Committee seeks to raise a further UAH1.5bn (€35m) for the national budget in 2023.
Further developments sanctioned this week saw the government order KRAIL, – Ukraine’s Gambling and Lotteries Commission – to begin cancelling/terminating gambling licences for failure of market activity or non-payment of licensing fees.
The government authorised its orders citing that gambling businesses must follow the compliance orders of Article 51 of the Ukraine Gambling Law on supervision and licensing duties.
Changes approved by the Verkhovna Rada in 2023 saw Ukraine’s National Security and Defence Council take over the regulatory control of the gambling sector.
The change in regulatory supervisor saw KRAIL revoke the licence held by Parimatch – Ukraine’s largest betting group – following sanctions imposed on 287 companies and 120 individuals through Presidential Decree No 145/2023.