Armenia plans to raise taxes on betting companies and totalizators

The Armenian Parliament adopted an amendment in the first reading, which provides for increased taxes on totalizators and online betting.

According to Deputy Finance Minister Aman Poghosyan, the problem is that despite the fact that these companies have been paying income tax since 2021, the sector’s turnover has grown from 140 billion drams (355 million US dollars) in 2017 to 4.2 trillion drams (10.5 billion US dollars) in just 9 months of this year. This creates the need to introduce new rules.

The new amendments provide for a review of licenses issued to providers and introduce a system of quotas.

Online gambling companies will have to buy the right to accept bets worth 100 billion drams from the state and pay a fee of 175 million drams for every 100 billion drams.

As for lotteries and sweepstakes, in order to be eligible to accept bets of 50 million drams, an additional 5 million drams must be paid.

The proposed changes project an additional AMD10 billion in annual tax revenue for the state, except for 2023, as the law is expected to come into force on July 1.

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