Remote gambling operators in Estonia have so far sent more than €1.4 million ($1.62 million) in voluntary payments to the Ministry of Finance after a legislative drafting error briefly removed their tax obligations for the year 2026.
Operators made these payments in February and March 2026 to cover sums the government would have collected had lawmakers applied the Gambling Tax Act as originally intended.
According to reports from ERR News, Ministry spokesperson Siiri Suutre remarked: “Donations received in February, including income tax, totalled approximately €815,000 and so far in March around €595,000 has been received. The March figure is not final and additional donations are still expected to our knowledge.”
The tax exemption arose from amendments passed in December 2025, which inadvertently excluded games of chance from the taxable base. This legislative oversight effectively left remote gambling untaxed at the start of 2026.
Member of Parliament Aivar Kokk highlighted the consequences of the error. “Games of chance and remote gambling were left out of this year’s taxation, meaning online casino games are not being taxed in 2026.”
Following the revelation, parliament swiftly moved to correct the text, adopting a technical amendment that reinstated a uniform 5.5% tax on remote gambling effective from 1 March 2026. The correction aligned the tax assessment with established monthly reporting routines, as confirmed by the Riigikogu Finance Committee.
Cautious expectations on reimbursement
The Estonian Association of Gambling Operators suggested a voluntary donation scheme. Thus far only a minority of the 41 licensed remote operators have made contributions.
Evelyn Liivamägi of the Finance Ministry noted the differing attitudes among companies. She expressed cautious expectations regarding full reimbursement of the lost tax revenue. “Life generally shows that everyone is much more enthusiastic about making promises than later fulfilling them.”
The ministry estimates that based on declared income from January and February, the two-month tax liability would have totalled approximately €3.5 million, slightly below an earlier €4 million estimate. Prior budget planning had projected remote gambling tax revenues to reach up to €27 million for the entire year. Officials emphasise that they will only confirm the final revenue shortfall once they complete the annual returns.
As the Ministry of Finance continues to monitor incoming voluntary payments, the revised Gambling Tax Act is now in force.
This episode unfolds against a broader policy backdrop in which Estonia is actively positioning itself as a competitive iGaming jurisdiction. The government has signalled ambitions to develop the country into a regional hub for online gambling.
Original article: https://igamingbusiness.com/finance/tax/estonia-gambling-operators-over-1-4-million-following-tax-error/
