In a pivotal legislative session on March 5, 2025, the Armenian Nationwide Meeting’s Standing Committee on Financial Affairs convened a unprecedented assembly to debate pivotal tax reforms focusing on the playing trade. The assembly, chaired by Deputy Babken Tunyan, marked a crucial second studying of proposals crafted by MP Hayk Sargsyan, which purpose to overtake the monetary obligations of playing operators inside the nation.
Rapid implementation of recent duties:
The reform initiative emerged from in depth deliberations involving key authorities stakeholders, together with Prime Minister Nikol Pashinyan. The revised proposal shifts from a turnover tax to an obligation on playing operations. Particularly, it proposes to double the obligation on betting purchases—from 0.1% to 0.2% for lotteries and from 0.175% to 0.35% for on-line successful video games. This adjustment is meant to be carried out instantly, bypassing the preliminary six-month delay, reflecting a proactive method to enhancing state income by means of the gaming sector.
MP Hayk Sargsyan, throughout the committee session, highlighted the monetary implications of the amendments. By changing the turnover tax with a direct obligation, the projected month-to-month income enhance is estimated at $2.7 million. As revealed on the regulator’s official web site parliament.am, Sargsyan emphasised the urgency of this reform, stating, “I don’t need us to lose these revenues and for this regulation to come back into pressure 6 months late.”
Additional discussions in parliament revealed the broader scope of the legislative modifications, which had been initially mentioned on February 5 underneath intense circumstances. The primary studying of the invoice proposed a 10% revenue tax particularly focusing on the playing sector’s booming turnover, which escalated from $35 million in 2010 to a staggering $15.8 billion by 2023, with tax contributions lagging considerably at solely 0.4% of the whole turnover.
The proposed laws, having handed its first hurdle with 64 votes in favor, two towards, and 19 abstentions, goals to rectify this imbalance by doubtlessly elevating a further 13 billion drams ($33 million) yearly. This substantial enhance in state duties is ready to proceed escalating yearly till the institution of a nationwide monitoring heart, a strategic transfer to strengthen regulatory oversight over the playing trade.
Addressing social impacts and future laws:
Through the parliamentary debates, MP Sargsyan and his colleagues from the Civil Contract get together additionally addressed the social implications of playing, together with its linkage to growing suicide charges inside the army, citing that greater than half of the suicides in 2024 had been gambling-related. This alarming statistic underscores the urgency for complete regulatory reform and the institution of a extra sturdy framework to curb gambling-related hurt.
The legislative bundle additionally contains plans to introduce a gaming sector monitoring heart and the appointment of a devoted gaming regulator by the yr’s finish. This initiative goals to limit playing entry amongst susceptible social teams and civil servants, making certain a extra managed and moral playing surroundings.
Because the invoice progresses towards its closing approval, the discussions and outcomes of those legislative classes spotlight a decisive shift towards extra stringent and equitable playing laws in Armenia, reflecting a dedication to each fiscal accountability and social welfare.
