(Gambling Tax Act, entered into force June 1, 2009)
Eligibility
Gambling tax is imposed on amounts received from lottery, promotional lottery, toto (totalisator + betting), remote gambling and tournament of game of chance. Tax is charged also on gambling table and machine used for game of chance and game of skills located on licensed premises.
Tax Base
Gambling tax is imposed on:
- gambling table, gambling machine used for organising games of chance and games of skills;
- amount received from net revenue in toto;
- amount received from sale of lottery tickets;
- amount received from winning fund of promotional lottery;
- amount received from net revenue in remote gambling;
- amount received from participation fee in the tourney of game of chance.
Tax is paid by authorised operators.
Tax period is one calendar month.
The taxable period for the promotional lottery shall be the period during which the promotional lottery is organised, starting on the first day set out in the rules of the game for placing stakes and ending on the last day set out in the rules of the game for awarding prizes.
The taxable period for the tourney of game of chances shall be the period during which the tourney of game of chance is organised, starting on the first day set out in the rules of game for passing participation fee and ending on the last day set out in the rules of game for passing participation fee.
Tax Rate
The rate for organising games of chance is 7,000 EEK per one gambling machine, for the organising games of skill is 500 EEK per one machine and 20,000 EEK per one gambling table. The rate for toto is 5 per cent; for lottery and promotional lottery are18 per cent. The rate for remote gambling and tourney of game of chance is 5%.
Tax Allocation
Gambling tax is paid into the state budget. Of the amount of gambling tax paid into the state budget 46 per cent shall be transferred to the Cultural Endowment of Estonia from which 63 per cent shall be allocated for cultural buildings; 3.9 per cent shall be allocated to the Estonian Red Cross; 12.7 per cent shall be allocated for regional investment aid programme which supports projects relating children, young people, families, elderly persons and disabled persons; 37.4 per cent shall be allocated for supporting projects related to sports, science, education, children, young people, families, medicine, addicts of gambling, welfare, elderly persons and disabled persons; 32 per cent of the latter shall be allocated for supporting projects related to science, education, children and young people, 22 per cent for supporting Olympic preparation projects, 10 per cent for supporting other sports projects, 32 per cent for supporting projects related to families, medicine, welfare, elderly persons and disabled persons and 4 per cent for supporting cultural projects.
The tax is administered by the Estonian Tax and Customs Board.
