It is human nature to love easy money. Who among us would refuse the opportunity to get rich overnight? Admit it: at least once in your life you bought a lottery ticket in the hope of turning into Scrooge McDuck. Scammers of all stripes profit from these dark passions: networkers, pseudoscientists who promise to turn a plastic fork into pure gold. And, of course, the brightest representatives of the cheating industry are the owners of gambling establishments. Since 2009, gambling has been officially prohibited in Russia. However, although it is short, it has a very rich history.
General information
The gambling business is defined as the field of activity associated with the organization and maintenance of companies specializing in gambling.
Until 2009, this area was developing rapidly, but later a ban on this business was approved at the legislative level, which is why many gaming halls, casinos and similar enterprises were closed.
At the moment, this line of business exists in Russia only in the form of a few gambling zones. Any establishments specializing in gambling located outside the zones are considered illegal.
“In the 90s people were killed, and everyone was running around completely naked...”
It’s not hard to guess when our country was besieged by one-armed bandits.
The first slot machines appeared in the USSR, however, as a tribute to Western fashion - exclusively in hotels where foreign guests stayed. The machines were supplied to Intourists in Moscow, Leningrad, Sochi, Yalta, Minsk, Tallinn, Vyborg and Pyatigorsk - a total of 226 of them were purchased. It was 1988. Then they began to undress those thirsty for profit in a big way, and in 1989 two casinos opened at once: in Tallinn (Estonian SSR) at the Palace Hotel and in Moscow at the SAVOY Hotel. The gaming room of the Moscow casino was ridiculously tiny: one roulette table, two card tables. The fun was reserved for the English-speaking elite - the croupiers and waiters did not speak Russian. It is important to note that the first casinos were currency ones. It was a small, hesitant step into the abyss of the gambling madness that swept the country in the 90s.
We all remember what happened to the country next. The first ruble casino was opened in the year of the collapse of the USSR, in 1991, in Moscow. Formally, it appeared under the Socialists. The croupier in bow tie, tables, chips, cards - everything was serious. It was founded by Igor Ballo, an entrepreneur who started with two broken slot machines, which he bought as scrap metal from the ship Shota Rustavelli. He repaired it and installed it on Smolenskaya Square, in the building opposite the Ministry of Foreign Affairs. And so he earned money for his own casino - briefly about the demand for gambling.
Then the business developed at an insane pace. “New Russians” in crimson jackets quickly realized that this business was not only profitable, but also status. Russia in the 90s was teeming with both small, semi-basement “hot spots” and luxurious casinos with claims to the atmosphere of Las Vegas. On Novy Arbat there is the legendary “Metelitsa”, where it was not snow that swirled around like a whirlwind, but the money of criminal authorities. Ladies in sable and black dresses, rivers of whiskey and criminal showdowns of muzzle makers who lost millions of rubles in one night. Another sensational establishment is “Firebird”, the name also speaks volumes: bohemian playmakers gathered here. Unlike Metelitsa, the owners provided a whole range of entertainment: in the “white hall” there was a casino with a typical set of ways to become poor in half an hour (roulette, poker, Black Jack), in the “black hall” there was a dance floor with light music and a bar. Everything is logical: you leave your companion to dance, and you spread the cards on the green cloth. What a vacation!
It is worth noting that in the 90s, casinos burned like matches: this business was damn dangerous for the life of the owner and his loved ones.
Gambling Law in Russia
Until 2006, the gambling business was regulated exclusively by articles of the Tax Code. Subsequently, Law No. 244 “On state regulation of activities related to the organization and conduct of gambling” was issued. This regulatory document establishes restrictions in this area of activity in order to preserve the rights, interests and moral standards of every citizen. There are a few exceptions that need to be taken into account.
Among them:
Lotteries and sweepstakes that are not prohibited by law- Exchange manipulation
- Gaming zones (specially designated areas where gambling is permitted under the control of government agencies)
In accordance with the presented law, it is allowed to open gambling establishments only on the territory of designated zones after obtaining the necessary license. This requirement does not apply to bookmakers and sweepstakes.
When do you need to report taxes and pay them to the budget?
Having calculated the tax on the gambling business, you need to fill out a declaration and submit it to the tax authorities:
- at the place of registration of objects;
- at the place of registration of the largest taxpayer (if the payer belongs to this category).
Such a report must be submitted before the 20th day of the month following the previous one. In other words, the last calculation, which reflected the tax on the gambling business for 2022, must be sent by organizations before 01/22/2018 (postponed from the weekend, January 20), and the January report must be submitted to the Federal Tax Service by 02/20/2018, etc. .
The gambling business tax declaration form consists of 3 sections and 2 subsections:
- section 1 reflects the BCC and OKTMO, as well as the amount of tax;
- section 2 shows the number of taxable objects and provides the calculation algorithm itself, subsection 2.1 was created to take into account the number of fields per table and calculate the tax on them;
- section 3 records all possible changes for objects (subsection 3.1 - for tables).
Payment of the gambling tax must also be made within the deadlines regulated for filing a declaration, i.e. before the 20th of the next month. Accordingly, for December 2022 payment must be made by 01/22/2018 (postponement from Saturday 01/20/2018), for January 2018 - by 02/20/2018.
Bookmakers and sweepstakes
This is a type of gambling based on bets. They are made for certain events that are planned in the near future. Odds are determined in advance, which depend on the probability of a certain outcome and, therefore, winning.
A betting shop and a bookmaker's office are almost identical institutions. They register bets and subsequently pay out winnings. The organizers of such businesses make money from the interest that is collected from participants who place bets.
How many play areas started operating after the bill?
Of the designated gaming zones, only one was able to open quickly, which is located in the Krasnodar Territory. The rest remained just grandiose projects to open a Russian Las Vegas.
But not everyone was in a hurry to go to Krasnodar to watch the game. Gambling business owners suffered heavy losses. As a result, they, disadvantaged and suppressed by the legal framework, opened illegal establishments that were disguised as anything other than a casino: from a harmless Internet cafe to strip clubs.
At one time bookmakers also flourished, but the law began to crush them, so they went underground.
Constant raids, confiscation of gaming equipment, huge fines, imprisonment - all this led to many gambling business owners going online, inventing illegal schemes with offshore companies, which made them difficult to track.
The authorities responded by blocking gambling sites, so gambling business owners were again defeated.
Today, to organize a gambling business, an entrepreneur must register as a legal entity, then submit an application to the tax service and obtain permission to operate a gambling business in a specially designated area.
Lotteries in Russia
Lotteries are partially covered by Law No. 244. A lottery is a game of chance, the outcome of which depends on random combinations of numbers. Organizers sell lottery tickets containing a certain digital combination. When tickets for a particular edition are sold out, the winning combinations are determined and announced.
There are a large number of lotteries in Russia:
Russian lotto- Gosloto 5 of 36
- golden horseshoe
- Housing lottery
- Stoloto
Previously, lotteries were organized as a unique way of providing material and social support to citizens. Funds from sold tickets were used to form new prize capital. Later, lotteries became commercial in nature.
Play areas in the Russian Federation
While the law prohibits gambling activities in most of the country, such a ban does not apply to gaming zones in Russia. Such places are specially designated for conducting such business. Such zones are large hotel and entertainment complexes with developed infrastructure.
Table 1. 6 gambling zones.
| Name | Opening year | Where is it located? |
| Primorye | 2015 | Near Vladivostok |
| Krasnaya Polyana | 2017 | Sochi |
| Azov City | 2014 (no longer active) | Krasnodar |
| Amber | 2017 | Kaliningrad region |
| Crimea | 2017 | Yalta |
| Siberian coin | 2014 | Altai region |
Gambling zones have only recently begun to appear and are developing slowly. This is explained by several factors, including difficulties at the legislative level, insufficient demand, and competition with illegal establishments.
How to build a business in Russia, watch the video:
Gambling business on the Internet
After the ban on gambling establishments, a large number of online casinos and gaming rooms appeared. At the moment, just like real gambling establishments, online casinos are prohibited, as indicated by Federal Law No. 244.
Despite the ban, the online casino industry is thriving. This happens for several reasons. Firstly, many organizers position their business as an online lottery. Secondly, the law on state regulation of the gambling business contains many shortcomings, due to which the organizers of illegal Internet entertainment are not held accountable.
Another reason is that online casinos can exist for a very short period of time, after which the Internet resource is closed and it becomes impossible to detect its organizers.
Innovations for 2022
There are currently no global changes to this type of tax. Only the procedure for calculating penalties has been revised - after October 1, 2022, the rule applies: the longer the delay, the greater the penalty (clause 4 of Article 75 of the Tax Code of the Russian Federation).
There is a project of the Ministry of Finance of the Russian Federation, which provides for a gigantic increase in tax rates for the gambling business (almost 100 times for online offices and twice for other gaming facilities), however, such a radical change, which could greatly affect the economy of gaming zones, has not yet been adopted today.
Online business efficiency
Organizers of online casinos make profits from customer losses. This is a simple diagram that explains why this type of activity is very profitable. In addition to the money received in cases of losses, many online casinos provide fees for the right to participate in various games or place bets.
An additional source of profit is registration fees when participating in tournaments.
Despite the profit, operating an online casino is associated with numerous costs, including:
Taxes- Costs of maintaining online resources
- Advertising company
- Settlement with investors and partners
- Employee salaries
It is also necessary to understand that not every Internet user is interested in spending money on dubious gambling sites. Recently, the level of trust in online casinos has been falling, and many users refuse to place large bets to the detriment of the organizers.
Purchasing the program
Online casino software is the most expensive investment for the gambling business. Ready-made online casino software is sold with detailed installation and configuration instructions. All that remains is to install it, configure it and run it on the server.
The software market is represented by world-famous manufacturers and those who are little known. Ordering a software package from premium developers will cost from a million dollars.
The most well-known suppliers of high-quality gaming software, which have proven themselves only from the best side, are considered to be Cryptologic, Microgaming, Realtime Gaming and Playtech. Naturally, purchasing software from lesser-known development companies will be cheaper and will cost about several hundred thousand dollars.
World-famous developers will provide cryptographic protection of the site and running program from various attacks, hacking, server overloads, etc. for a 20 percent royalty
You should not refuse royalties, as practice shows that solving the problems described on your own will cost more.
Of course, to cooperate with the developer of an online casino program, you will need to conclude an agreement.
Who can be the founder
Article 6 of Federal Law No. 244 contains requirements for organizers. Failure to comply with these requirements in most cases leads to refusal to issue a license.
Requirements include:
- Registration of a citizen on the territory of the Russian Federation
- Legal entity status
- Prohibition for persons with outstanding convictions for crimes in the economic sphere or causing bodily harm
It is also important to note that the amount of authorized capital required by law is from 100 million rubles.
Responsibility of negligent payers
The law is strict against those who do not provide the necessary payments to the budget. For late payment or late filing of a declaration, for errors in calculating the amount or arrears, serious fines are provided:
- Delay in document reporting threatens with a fine of no less than 1000 rubles, amounting to 5 to 30% of the amount for this declaration;
- a delay in paying the tax itself will “pull” a penalty for each day of delay (its amount will be 1/300 of the refinancing rate, calculated as a percentage of the amount not paid on time);
- violation of the procedure for registering gaming facilities is fraught with a threefold amount of tax on an incorrectly or lately registered business attribute, and if the violation is repeated, this amount will double;
- unpaid tax entails the most serious fine - from 20 to 40% of the total amount of arrears.
FOR YOUR INFORMATION! Fines and penalties do not relieve you from the obligation to pay arrears in full.
Starting a business on the Internet
Today, creating an online casino is easier than creating a real one. To create a gaming resource on the Internet, a number of steps are performed.
Among them:
Market research, determining the level of competition- Registration of a license
- Online casino brand development
- Domain registration
- Purchase of software and website development
- Payment system development
- Creation of a technical support service
- Advertising online casinos on the Internet
Opening an online gambling resource includes many stages. Many Russian entrepreneurs prefer to register online casinos in countries where this type of business is allowed, and further popularize it in the Russian segment of the Internet.
Online casino promotion
For a casino to be profitable, opening and registration alone is not enough. You also need to promote an online casino, run advertising, and register in search engines and catalogues. All this is necessary so that potential players learn about the existence of the casino and show interest in it.
Advertising for casino promotion is very expensive, since casino operations are quite a profitable business, and all advertising campaigns understand this. Typically, advertising is placed on sites with similar themes, i.e., gaming resources.
To long-term attract and increase players on an online casino website, it is worth resorting to SEO optimization of queries in search engines.
The Google Adwords system will provide a search advertising service from Google, which is rich in functional tools and a user-friendly interface that is necessary for creating effective advertising messages.
Most likely, players from different countries will use the online casino, so it will be necessary to organize multilingual support for the site. This will increase your player base.
In order for players to return to play, it is necessary to hold regular drawings and use a system of prize accumulations. This is especially true for those clients who leave large sums in online casinos.
Features of taxation
In most types of business, the income received by the organizers is taxed. In the case of gaming establishments, a fixed tax is paid on each unit that generates income. The amount of tax is determined taking into account numerous criteria.
Among them:
- Authorized capital
- Volume of working capital
- Average number of clients
- Number of gaming halls, slot machines and other gambling business units
Each taxable object must be registered with the relevant service. Registration must be carried out at least 2 days before commissioning.
Table 2. Minimum tax rates for different objects.
| Gambling business object | Minimum tax (RUB) |
| Gaming table | 25 thousand |
| Slot machine | 1500 |
| Totalizator processing center | 25 thousand |
| Bookmaker processing center | 25 thousand |
| Bookmaker's betting point | 5 thousand |
| Totalizator betting point | 5 thousand |
The exact amount of tax is determined for each object individually.
About taxation in the video:
“Flesh nologi”: everything was official
The 90s are over, but the rampant gambling addiction is not.
On July 31, 1998, they decided to take control of the uncontrollable industry: the law “On the Tax on Gambling Business” came into force. Enormous money, why waste it! The gambling business now had its own OKVED code, and owners were required to register and obtain a license. In the mid-2000s, there were over 6,300 legal organizations involved in the gambling business in Russia. By 2005, the turnover of this area amounted to 5-6 billion dollars - colossal money. Only officially in Russia there were 400 thousand slot machines and 5000 gaming tables. Their leaders also appeared: the Vulcan casino chain (Ritzio Entertainment Group), Super Slots (Storm International), and Jackpot. These were not only casinos, but also gaming clubs - the same ones where there were slot machines with cash prizes. The most “gaming” cities in the country, as you might guess, were St. Petersburg and Moscow - 60% of all establishments were concentrated there. The gambling business fleeced the residents of the capital to the skin, and it was from there that discontent began to brew. Opponents of non-children's games began to raise their heads: as a rule, these were small youth organizations that organized awkward pickets and demonstrations. For example, in 2005, a certain public association “Local”, consisting of activists near Moscow, organized the “End of the Game” action. A note was published on the website of the city of Odintsovo, which quoted their leader Adrian Krupchansky:
“About 20 thousand people will take to the streets of cities near Moscow, gather near slot machine halls and, holding hands, block approaches to them. “Life is not a game!”, “Gambling business, get out of the Moscow region!”
Experts were loudly talking about the epidemic that was sweeping the country - gambling addiction, a terrible addiction to gambling. People lost every penny, remained absolutely destitute, lost their jobs and loved ones. The Kremlin was no longer happy with the situation, and by 2006 a decision was ripe: to ban everything to hell. Which is what was done.
Administrative responsibility
The operation of an illegal casino or betting shop is regarded as carrying out business activities without a license. This offense is described in Art. 14.1 Code of Administrative Offences. For such an unlawful action, a fine (from 2,000 to 2,500 rubles) and confiscation of gambling equipment is provided.
For legal entities, this violation faces a fine of 40 to 50 thousand rubles. with confiscation of the property of an illegal organization.
Rates and amounts
The Tax Code sets the minimum and maximum bet sizes for each type of gaming object. Regional authorities have the right to choose any figure within these boundaries. If a given subject of the Russian Federation has not adopted a law regulating the tax rate for the gambling business, then the minimum rate specified in the Tax Code of the Russian Federation is applied. Here are the amounts an entrepreneur should expect:
- for a gambling table - from 25 thousand to 125 thousand rubles;
- for a slot machine – from 1.5 thousand to 2.5 thousand rubles;
- for a processing betting or bookmaker center - from 25 thousand to 125 thousand rubles;
- for a betting point - from 5 thousand to 7 thousand rubles.
Experience of Western countries
In European countries and the United States, gambling licenses are issued by non-governmental bodies. As a rule, these are gambling commissions that exercise control over the entire gaming industry. This contributes to the active development of business and at the same time increases contributions to state budgets, so that funds are spent on the implementation of social projects.
Despite the existing similarities, the procedure for organizing and conducting business in foreign countries is different. Even the definition of gambling varies widely, causing it to be viewed differently from a legal perspective.
Arbitrage practice
To confirm that a citizen is the organizer of an illegal business, a number of points must be established.
Among them:
Availability of confirmed information about involvement in organizing games- Confirmation of the use of Internet resources
- Availability of necessary equipment (tables, machines, equipment)
- Lack of documentary permission
- Availability of large profits
The violator can be brought to justice only if the method of committing the illegal act and the methods used are clearly defined.
Gambling business is an activity that is almost completely prohibited in Russia. The only exceptions are a few gaming zones, where casinos are allowed to operate if they have a license. Bookmakers, lotteries and sweepstakes are not subject to prohibitions if they operate in accordance with the standards established by law.
Top
Write your question in the form below
Registration of taxable objects
The law requires that any of the listed attributes be registered with the tax authorities no later than 2 days prior to its installation. The owner must submit an application to the regional tax service, in which he must indicate the object of future taxation and its location. After consideration, he will be issued a certificate of registration for this object. The date of registration (and therefore the beginning of the tax period) will be considered the number stamped on the registration application.
IMPORTANT! If an entrepreneur has purchased a new attribute for organizing games or any equipment has become out of order or a certain point has been removed from operation, the tax office must be informed about these changes within the same time frame.
Application forms and registration certificates were adopted by the Ministry of Finance of Russia in accordance with Order No. 184n dated December 22, 2011.
