The draft budget outlines a new gambling tax and higher VAT to fund state spending
The Russian Finance Ministry has proposed a 5% tax on all gambling stakes under a new budget plan. The ministry also said bookmakers should pay a profit tax at the standard 25% rate.
The measure is part of a wider package of tax changes in Russia aimed at increasing non-energy revenue to support state spending. In its 2026-2028 draft budget, the Finance Ministry proposed raising the standard value added tax to 22% from the current 20%, while keeping a 10% reduced rate for socially important goods, the ministry said on Wednesday.
Currently, bookmakers pay a fixed regional gambling tax that depends on location, which “does not reflect the scale of turnover or the real financial result” of their operations, the ministry said. The new system would calculate tax based on both turnover (the 5% tax) and profit under the general corporate tax regime, replacing the fixed-fee model.
Gambling in Russia is tightly regulated and limited to special zones and licensed bookmakers. Outside the zones, only sports betting and lotteries are generally allowed.
The draft budget is now under consideration by the government and parliament, and could be modified before final adoption. In recent years, the authorities have also discussed reducing on-site inspections for licensed gambling operators in favor of preventive oversight.
According to industry estimates, in 2024, legal gambling zones generated around 2.6 billion rubles ($28 million) in tax revenue. The authorities shut down 195 illegal clubs in the first half of 2025.
