As Estonian MP Aivar Kokk explained in an interview with the ERR news website, due to inaccuracies in the provisions of the act, online casino games will not be taxed in 2026. According to Kokk, the problem results from the use of the phrase “games of skill” in the act instead of the more precise term “games of chance”.
The error concerns a change in the Gambling Tax Act, which currently indicates that the tax rate is 5.5%. on the amount derived from “games of skill” as defined in Art. 1 section 1 point 5 of the Act. Meanwhile, games of chance, including online casinos, are not included in the provisions, which excludes them from taxation.
The Estonian parliament adopted the law on December 3 last year, and the president signed it 15 days later. The aim of the amendment was to gradually reduce the gambling tax rate from 6 to 4 percent, by half a percentage point per year. However, this year's mistake may cause significant financial losses for the state budget.
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Annely Akkermann, chairwoman of the Finance Committee, confirmed the error and announced it would be corrected within a month. “This error actually exists in the Gambling Tax Act and we will fix it with an appropriate amendment,” Akkermann said in an interview with ERR.
