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Lithuania coalition backs progressive gambling tax plan worth up to €36m

Regulation1 min read

Lithuania’s governing coalition agreed in principle to introduce progressive taxation for gambling licences as part of its fiscal agenda. Lawmakers supporting the proposal estimate it could raise up to €36m in additional annual state revenue, but rates and tax bands have not been set; the plan forms part of discussions on the 2027 budget.

Progressive taxation of gambling licences has won in-principle agreement from Lithuania’s governing coalition. Supporters of the proposal in parliament estimate that it could bring the state up to €36m in extra revenue annually.

The government has yet to settle the rates, thresholds or implementation timetable. The proposal is part of discussions on Lithuania’s 2027 state budget.

The proposal emerged as Prime Minister Mindaugas Sinkevičius of the Social Democratic Party renegotiated the governing coalition’s terms with the Democratic Union. The coalition later secured a parliamentary majority with support from a bloc representing the Farmers Party, Greens and Christian Families. Minister Tomas Tomilinas, a Democratic Union member, is among the proposal’s advocates.

A wider gambling reform programme covering compliance, player protection and advertising is scheduled to take full effect in 2028. A nationwide advertising ban is due on 1 January. Transitional rules have restricted broadcast gambling promotions and prohibited pop-up advertisements and direct links to betting websites.

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