The Russian government aims to significantly boost state revenue from betting companies and totalizators.
The Ministry of Finance in Russia is developing new tax measures for the gambling business, designed to increase federal budget revenues. The department estimates these changes could generate approximately 282 billion rubles between 2026 and 2028, as detailed in the explanatory note to the budget draft for the upcoming three-year period.
Proposed amendments to the Russian Tax Code, expected to come into effect in January 2026, include introducing a 5% gambling tax on accepted bets for bookmakers, as well as a 25% corporate profit tax for these companies. The Ministry of Finance believes this approach will allow for a more comprehensive accounting of both turnover volumes and the actual financial performance of companies. Furthermore, these measures are intended to enhance the transparency of the gambling sector, which, despite high turnovers, traditionally exhibits low tax contributions. The new regulations also aim to fulfill state obligations in the social sphere, including family support, defense, and security.
The gambling tax is categorized as one of three regional taxes that contribute to the budgets of the Russian constituent entities where it is implemented.
Projected federal budget revenues from this commercial activity are set to be 74.2 billion rubles in 2026, 101.9 billion rubles in 2027, and 105.9 billion rubles in 2028. Currently, bookmakers pay a fixed regional tax, the amount of which is set within limits defined by the Tax Code – ranging from 50,000 to 250,000 rubles per processing center.
Igor Rastorguev, a lead analyst at AMarkets, states that «the introduction of a 5% gambling tax on accepted bets for bookmakers is entirely justified and timely.» In his view, the existing system of fixed regional payments has long failed to reflect the true scale of this rapidly growing market. Considering a legal turnover of 4.7 trillion rubles and the revenue of the ten largest bookmakers at 1.7 trillion rubles in 2024, the new taxation system will provide a more accurate representation of the market`s financial reality.
Rastorguev emphasizes the significant potential for additional budget revenues: approximately 85 billion rubles annually from the gambling tax and another roughly 23 billion rubles from the 25% corporate profit tax. Thus, the total annual increase in revenues could exceed 100 billion rubles, representing a substantial contribution to the state treasury.
The analyst explains that due to high turnovers and relatively low tax yields, the bookmaking business creates an imbalance between its economic influence and its contribution to state finances. The transition to a percentage-based taxation model will automatically scale tax revenues in proportion to market growth. Rastorguev also points out that the Russian betting market shows stable growth, with turnover increasing by 45.2% in 2024, indicating its financial resilience and ability to withstand increased tax burdens.
In conclusion, Rastorguev adds: «Furthermore, companies already make socially significant contributions, allocating at least 5% of their revenue to sports development, which confirms the industry`s readiness for responsible business practices.»
