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Italy’s Court of Auditors reports €200m fall in gaming tax revenue

Regulation

Italy’s Court of Auditors reported that gaming tax revenue fell by about €200 million in the first eight months of 2026, according to a memorandum submitted during parliamentary budget hearings. Total tax revenue rose by €10.1 billion to €398.8 billion over the same period. The government’s planned measures for 2027 are expected to raise about €700 million from the gaming sector, but how it will do so remains undecided.

The reported revenue decline is relevant to debate over proposed new taxes on Italy’s gaming sector.

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Regulation

Calabria tax court upholds ordinary VAT option for gaming-machine operator

Calabria’s second-instance tax court rejected the Revenue Agency’s appeal and upheld cancellation of a payment demand for tax year 2017. The court said gaming-machine operators may choose ordinary VAT even when entertainment tax uses a flat-rate base, and may evidence that choice through their tax return and accounts without prior notice.

Calabria's second-instance tax court rejected an appeal by the Agenzia delle Entrate and upheld the cancellation of a payment demand issued to a sole trader operating gaming machines, covering tax year 2017. The demand had included VAT calculated on a flat-rate basis in relation to entertainment tax, as well as penalties, interest and collection charges.

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