Bulgaria to Increase GGR Tax for Gambling Operators

Bulgaria will raise the GGR tax for gambling operators from 20% to 25% starting January 2026.

Government Decision and Budget Approval

The Bulgarian government approved the 2026 state budget, which includes an increase of the GGR tax for both land-based and online gambling operators. The rate will rise from 20% to 25%, and the decision was confirmed by the National Council for Joint Governance on November 2. The measure aims to address the budget deficit of €3.2 billion.

The budget has been presented in euro for the first time as part of the country’s transition to the new currency on January 1, 2026. Financial authorities stated that preparation for adopting the euro has completed a key phase before the introduction of the updated tax rates.

Core Parameters of the Tax Change

The increased rate will apply to all categories of operators active in Bulgaria.

This step reflects the intention to raise state revenue from a sector that continues to grow in turnover and the number of active players.

Financial Context of the Adjustment

The €3.2 billion deficit became the main reason for revising the tax policy. The Ministry of Finance indicated that the tax increase is part of a wider update linked to the economic shift following the adoption of the new currency.

During discussions, it was noted that the new budget considers current profitability levels of gambling operators. The higher rate is expected to generate additional revenue to offset part of the government’s planned expenses.

Connection to the Euro Transition

The transition to the euro will take effect on January 1, 2026. The new budget was developed with the currency change in mind and includes mechanisms for adjusting the taxation system. Supporting documents state that the introduction of the euro influenced the recalculation of rates in the gambling sector.

• New GGR indicators are calculated in euro standards.
• The rate adjustment is aligned with the financial reform.
• Operators must prepare reporting documentation based on the new requirements.

Impact on Operators and the Market

The five-percentage-point increase will raise the financial burden on both land-based and online operators. Industry representatives noted that the tax change will require updates to internal processes and a review of management expenses.

Several companies have already stated that the currency switch combined with the higher tax rate increases the need to update financial models and technical infrastructure. Under the new measures, gambling operators must revise their reporting systems in line with the updated GGR rate.

Summary of Key Changes

• GGR tax increase from 20% to 25% starting January 2026.
• The decision is tied to a €3.2 billion budget deficit.
• The national budget is presented in euro for the first time.
• The changes apply to both land-based and online operators.