Bulgaria proposes raising gambling tax to 25% in 2026 budget bill
Table of contents
- Gambling operators in Bulgaria could face a higher variable tax rate from January 2026.
- The new budget bill increases the rate from 20% to 25% on the difference between bets placed and winnings paid out.
- The Ministry of Finance expects the move to generate an additional €32 million for the state budget.
Bulgaria’s government has proposed increasing the variable state fee for gambling operators from 20% to 25%, starting 1 January 2026, as part of the draft 2026 state budget bill. The proposal, currently awaiting parliamentary approval, targets increased revenue for national spending.
The draft budget for 2026–2028 includes an increase in the variable gambling licence fee applied to the difference between bets received and winnings paid by lottery, raffle, bingo, keno, and similar gaming organisers, including online betting.
€32 million in additional revenue
Currently, gambling operators in Bulgaria currently pay a two-part licence maintenance fee: a one-time lump sum and a variable component calculated as a percentage of gross gaming revenue, defined as bets received minus winnings paid out.
For online betting operations, the one-time fee stands at BGN 400,000 (around €205,000) while the variable part was previously set at 20% of net gaming revenue.
From January 2026, this variable rate could rise to 25% for all licensed games, including lotteries, raffles, toto, bingo, keno, and online betting. The government forecasts the new measure may contribute an estimated €32 million in additional revenue to the state treasury, aimed at funding social and economic projects.
Sector reaction and previous debates
The Ministry of Finance confirmed that the tax hike targets increased state revenue and was included in the Updated Medium-Term Budget Forecast for 2026–2028.
In a public statement, the ministry said:
“The planned increase in the fees payable by gambling operators is aimed at generating additional revenue for the state budget and thus providing additional funds for social and economic expenditure, which is in the public interest.”
This move follows previous discussions in 2025, under then Prime Minister Dimitar Glavchev, which considered raising the variable rate even higher, up to 30%. Those proposals were later abandoned in favour of other fiscal measures, according to local sources.
Unknown future
If adopted, the increased tax rate may affect operator margins and compliance costs. Regulators and investors will likely monitor the measure’s impact on Bulgaria’s gambling industry and tax revenue closely. The lack of official projections beyond 2026 leaves uncertainty about future fiscal adjustments in this sector.
Sources: Economic.bg, Bloomberg
Do you have a story worth sharing?
Send it over to our editors!
