Verkhovna Rada canceled the streamlined gambling tax scheme.

At the start of the full-scale Russian military invasion, the Verkhovna Rada of Ukraine authorized a simplified taxation system under which all individual entrepreneurs and single tax payers of the first and second groups were temporarily exempt from paying the single tax or were permitted to pay it partially.

During the era of martial rule, they were not needed to fill out a taxpayer’s declaration. The gaming firm was permitted to pay or not pay the 2% tax if its annual gross revenue did not exceed $10,000,000.

Some representatives of gaming businesses having a gambling license from KRAIL and formal employment in Ukraine took advantage of this chance.

Thus, around eight legal gaming sites in Ukraine have adopted this technique of money collecting. At the same time, two of the eight gaming companies did not pay any taxes, despite the fact that they had been operating without any restrictions for the last few years.

The Ukrainian Verkhovna Rada outlawed the simplified tax system for gambling businesses on January 12; thus, gambling in Ukraine will no longer be advantageous, as it was prior to March 15 of last year.

The severe gap in budget income from this region prompted the representatives of the people to reach this conclusion. Before the implementation of the simplified tax system for gaming, gambling operators paid an average of 200,000 yen per day, however following the transition to a simplified system, the six “beneficiaries” paid an average of 23,000 yen per day.

The facts speak for themselves: the Ukrainian government earned just 1,056,000,000 in tax income from gaming, as opposed to the anticipated 12,000,000,000. The disparity is more than tenfold, and it is thus clear why officials of the Ukrainian government chose to “close down this store” for gaming platforms.

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