Bulgaria A Profitable Destination for Online Gambling Operators

Published Thursday, April 05, 2018 - Online-Casinos.com
Bulgaria A Profitable Destination for Online Gambling Operators

Bulgaria has become a destination for online gambling fans from all over the world. Operators of gambling service providers are delighted with the regulatory situation in that jurisdiction. Online betting operators enjoy massive tax benefits when they are licensed in Bulgaria.

The Center of the Study of Democracy (CSD) in Bulgaria revealed that data from Moody’s Amadeus exposed licensed gambling operators in the country paid taxes worth BGN177 million ($111 million) in 2016 and BGN144 million ($90.32 million) during the first nine months of 2017 thus creating a large increase in profit for the operators.

The Bulgarian government implemented a revised set of gambling regulations in 2013, according to the recent report. The new rules removed the corporate tax on licensed gambling operators and gave them a different tax. The virtual gambling providers now pay a 20 percent levy on revenue while terrestrial operations are taxed on the number of gambling devises and products they offer. Offshore gambling product providers are required to put up a BGN100,000 ($62,725) licensing fee.

CSD analyst Tihomir Bezlov told media outlet Novite.com, “If the tobacco product market is estimated at BGN3.5 billion in 2017, then the excise duties paid and the VAT are about 3 billion levs. With huge gambling profits, the tax paid for 2016 is BGN 177 million,”

Gambling operators have relocated to the Bulgarian jurisdiction to benefit from the positive changes in the tax regulations. It was reported that there are now 1,327 registered companies involved in wagering products.

New Gaming SA, Eurobet Ltd and National Lottery SA, have been the most profitable in the jurisdiction. Owned by Vasil Bozhkov, New Gaming SA and National Lottery SA reported a turnover of €88.5 million ($108.5 million) and €15.3 million ($18.76 million), respectively in 2017.  The total turnover of these two operations rose to €296 million ($362.97 million). Proof that Bulgaria is a destination to turn to for profits.

 

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