Bookmakers and bookmakers will be obliged to pay monthly for 2.5—3 million rubles for the opportunity to take bets on the Internet, to the draft amendments to the Tax code (has). This is 100 times more of the current tax minimum, which is allowed to charge bookmakers and betting regions. The document prepared by the Ministry of Finance, on March 21, it was approved by the government Commission on legislative activities, said two participants of the meeting. The press service of the Ministry of Finance promised to respond to the request later.
Interactive the right to take bets on sporting events of Russian bookmakers and bookmakers received in January 2015, while this is only a beginning bet area, but officials are already counting on large revenues. The ability to accept bets on the Internet “will substantially increase the profitability of gambling,” reads the explanatory note to the draft law of the Ministry of Finance. New tax for bookmakers and betting prompted to enter from 1 January 2017. With it, authorities hope to replenish the deficit of regional budgets comes from the expert opinion of the government staff (has). Under the Budget code, proceeds from tax on gambling business shall be credited to the budgets of the regions.
The moratorium President
In December 2014, President Vladimir Putin in the message to the Federal Assembly proposed to ensure the sustainability of the tax conditions for businesses by 2018, according to the results of the message was given appropriate instructions. So far officials have formally complied with the moratorium — new taxes had been introduced and they are not increased. The bill of the Ministry of Finance it is in fact a new tax on betting business on the Internet. Reasoning on this account in materials to the bill, the Ministry does not. But in the expert opinion of staff of the government said that the bill was developed on behalf of Putin and agreed with the state-legal Directorate of the President.
What could be additional revenue from the new tax, said not in the explanatory Memorandum to the bill nor in the expert opinion of the government on the document. A tax on Internet betting will give regions up to 1 billion roubles of additional incomes, estimates the President of the First self-regulatory organization of bookmakers Oleg Zhuravsky.
Current Tax code does not take into account the way players bet: the regions of the allowed monthly charge for 25 thousand—125 thousand rbl. from each centre, which takes into account taken by the bookmakers and bookmakers bet (by law, every licensed bookmaker and bookmaker is one such processing centre). The Ministry of Finance proposes to maintain the current tax “fork” only to those bookmakers and betting shops that do not accept online bets. Thus, the fee for each processing center, taking into account the rates adopted in the Internet will increase at least 100 times, up to 2.5—3 million rubles, depending on the decision of the region. If the region a special resolution will not take will be the rate in 2,5 million rbl., is told in the bill of the Ministry of Finance.
In addition to the tax processing centers, bookmakers and totes are paying for each point of reception of rates — from 5 thousand to 7 thousand rubles per month. These taxes will continue — to change their rates, the Ministry of Finance does not offer.
Bookmakers will master
About plans of the authorities to impose a special tax on live betting the bookies know, we discussed the amount that is specified in the bill of the Ministry of Finance (2.5—3 million), says Zhuravsky. On the business the introduction of a new tax will be reflected positively: the state will get a nice taxes and create an environment that will not hinder the business to earn and players get their winnings, he says. Zhuravsky sure that the betting company will not refuse to work on the Internet because of the new tax — compared with assets, which the betting company have to collect to get the license, a monthly tax of 2,5—3 million rubles looks “ridiculous”. To obtain a license, a betting company should have 1 billion rubles in net assets, but must also engage in self-regulatory organization where to contribute another 30 million rubles, says Zhuravsky. “For companies that have collected such huge assets, the problems to pay 3 million rubles in a month, I do not see”, — said the expert.
Russia now has 31 licensed betting company, their annual turnover Zhuravsky is estimated at $1.5 billion, the yield is 10%. The proportion of the population playing at the bookies, significantly less than the number of players in casino and slot machines: 0,5—1% vs. 5-6%, says the expert, referring to relevant world statistics. “In the bookmaking business you need to think to know the teams, players: where they play, where they fly, with whom and how much they drank before the game — a very large amount of knowledge one must have to be put on a team. This “What? Where? When?” in the world of sports. It is profitable business, but not profitable”, — said the source .
For players of the Finance Ministry, by contrast, is preparing tax breaks proposed to tax the winnings up to 4 thousand rubles a Rule applies to players in gambling, and lottery winners. Taxes for winnings of more than 15 thousand. players will be required to take the organization that pay your winnings. The current Tax code obliges to submit the corresponding tax Declaration of the players and participants of the lottery (tax agents only recognised bookmakers and bookmakers). The players and the players themselves will continue to pay taxes only wins from 4 thousand to 15 thousand rbl., follows from the bill of the Ministry of Finance. The size of the tax on winnings in gambling can be reduced by the amount bet — now tax laws such deduction does not provide.
Due to changing regulations administration of tax on winnings, the government also expects to increase budget revenue from the tax to incomes of physical persons, is told in the conclusion of the government on the bill. Now the administration of this tax is complicated by the lack of tax authorities information on the organizations that pay people winnings that they declare and the amounts of their winnings, explain the authors of the bill.