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Bulgarian Gambling tax Rejected
11/21/09 - Fears that the recently proposed 10 percent Bulgarian gambling tax would by further boosted to 15 percent faded in the National Assembly Friday as the Budget Commission rejected a motion by conservative politicians to raise the tax by another 5 percent.
The conservative party “Law, Order, Justice” (RZS) and members of the Blue Coalition had proposed that the gambling tax be raised from 10 percent to 15 percent, arguing that this should be calculated on a profit basis, reports the Novinite news agency.
But although the 15 percent increase motion failed, a proposal to increase the tax to 12 percent based on turnover passed the Council of Ministers.
Other taxation moves passed included a quarterly levy on gambling and betting machines.
The new taxes come into force in January 2010 as part of an amended Corporate Income Tax Act.
The Bulgarian Association for Entertainment and Gambling Games, which had earlier warned that tax increases could be the final blow to battling gambling companies reiterated its warning that the increased taxation could cause the collapse of the industry, risking 40 000 jobs and government revenues.
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