Publication date: 19 Aug 2020

Russia’s Ministry of Finance has released its latest report on 2020 budget implementation. According to the report, temporary closure of special gambling zones during the pandemic has affected regional budgets in Russia.

In 2020, the most actively developing gambling zone in Primorsky Krai was projected to bring in 132.9 mln rubles in the form of income tax (the gambling sector). As of 1 July, the budget received only 47.9 mln rubles. It means that casinos and poker rooms are to pay another 85 mln rubles in taxes for the remaining six months. Only one casino — Tigre de Cristal — is currently operating in the gambling zone; construction of the second gambling complex called “Shambala” will be completed by the year-end. The new gambling complex is expected to add 4.5 bln rubles to the budget.

Casinos in Krasnodar Krai resumed their work in early July; the flow of tourists is gradually recovering. Local authorities earlier projected that the budget would receive 440.3 mln rubles. As of 1 July, only 113.7 mln rubles were paid which accounts for just 25.8% of the projected amount. It is worth noting that the gambling zone brought in 232.9 mln rubles during the same period last year fulfilling the plan by 103.4%.

• Learn more: How much do casinos and bookmakers pay in taxes?

The Altai Republic has also faced a deficit in budget revenues. In 2019, tax revenues from the gambling businesses there amounted to about 35 mln rubles. An expansion of the “Siberian dream” gambling zone is planned to take place in the nearest future, and its first slot machine hall will open at the end of this year already.

The Kaliningrad region has only one gambling complex which was expected to bring in 126 mln rubles in 2020. As of 1 July, however, only 32.1% of the forecast was fulfilled — the budget received 43 mln rubles.