Lithuanian Coalition Backs Progressive Gambling Tax to Lift 2027 State Revenues
Summary
Lithuania's governing coalition has agreed in principle to introduce a progressive tax on gambling licences as part of preparations for the 2027 state budget. The proposal is projected to generate up to €36 million in additional annual revenue, though final rates, thresholds, and timelines remain undecided. Prime Minister Mindaugas Sinkevičius of the Social Democratic Party renegotiated the coalition terms with the Democratic Union, led by Virginijus Sinkevičius, with Democratic Union minister Tomas Tomilinas championing the tax change. The coalition secured a Seimas majority with backing from the Farmers Party, Greens, and Christian Families bloc. The tax initiative coincides with a broader regulatory overhaul: a nationwide advertising ban starts January 1, 2028, with transitional curbs already in place; the Gaming Control Authority can impose fines up to €700,000; banks must block payments to blacklisted sites within 24 hours; and mandatory player cards will phase in through 2027 and 2028, reaching full implementation by January 1, 2029. Additional measures include behavioural monitoring, deposit controls, and staff training on harm identification. The final shape of both the tax bands and supporting rules will determine the combined burden on licensed operators and the net revenue actually realised by the state.
(Source:Sccg Management)