Ukraine Estimates Legal Gambling Could Lead to $300 Million Tax Revenue Surplus

Last week, Ukraine’s Finance Minister, Oksana Markarova, provided some backing to the suggested casino gambling legalization bill in this Eastern European country by saying that it could inject $200 – $300 million in tax revenue.

The said casino legalization bill – if ed – could introduce gambling in Ukraine’s hotels with three, four and five stars. There is a language – according to some media outlets – that this bill would also legalize online gambling.

Ukraine At Crossroads

Markarova went on to add that these tax revenue figures, although quite good by every standard…

…are still very much “conservative estimates” made by experts. Ukraine’s parliament, Verkhovna Rada, has the bill submitted to it. If the gambling gets legalized, tax revenue from it can be included in 2020 budget.

Interestingly, this is not the (potentially) first time Ukraine could get a gambling scene. It was existent until 2009, when it was proclaimed illegal activity by the Government at the time. Lawmakers have been making regular attempts of making it legal in several last years, but non worked.

Volodymyr Zelensky, the nation’s new president, has made it clear that he will legalize gambling again, as a way of putting a stop to a huge gambling black market.

The country’s gambling bill was crafted quite quickly, the relevant bodies were appointed to the task in September, and the piece was presented on October 1st. Cabinet of Ministers has approved the legislation soon after.

What’s Next?

At this point…

…Verkhovnaya Rada needs to approve the bill, which is expected to happen until December 1st. Markarova and Prime Minister Oleksii Honcharuk were leading the team drafting the legislation.

If ed, the bill would legalize slot machines at hotels with three, four and five stars all across Ukraine. Slot halls will also be allowed, but they will be restricted from areas close to schools, hospitals, churches and residential apartments.

In total, there should be no more than 40,000 slot machines in the entire country, which is the amount set by the Government.

Sports betting and online gambling are also in the cards according to the country’s lawmakers.

Kiev, the capital of Ukraine, can host casinos only in hotels with at least 200 rooms. The number of rooms necessary for hotels to operate casinos decreased to 150 for the rest of the country.

The bill also seeks to combat illegal online gambling. Those caught conducting this illegal activity could spend up to five years in jail.