Italy budget: slot tax rising, betting limit doubling

Under the approved 2027 budget proposal, the PREU tax on AWP-type slot machines will rise from 24% to 25%, and the tax on video lottery terminals (VLTs) will rise from 8.6% to 9.6%, starting January 1, 2027. Slots that pay out at least 70% of their stakes as prizes will qualify for a 20% reduced rate. At the same time, the maximum stake per game is being raised from 1 euro to 2 euros, and the maximum prize from 100 euros to 200 euros.

Betting, slot, VLT and bingo concessions were due to expire on December 31, 2026, but they are now being extended until the end of 2029. Betting shops will pay 14,250 euros per year per license when betting is their main business, and 8,550 euros when it is a secondary business. Slot and VLT network operators will pay 150 euros per slot permit and 7,500 euros per VLT right. Monthly fees for bingo halls will range from 6,500 to 14,500 euros, depending on card sales.

The Gratta e Vinci scratch card concession is being extended to 2029 in exchange for 188 million euros. An additional weekly draw is being added to Lotto and SuperEnalotto. The proposal also introduces a licensing regime for esports and LAN gaming halls that offer skill-based games. These venues will need an ADM permit and will pay 200 euros per device, 1,000 euros per hall and 10,000 euros per online platform. All forms of betting will be prohibited in these venues. The proposal also includes a settlement mechanism for long-running disputes over the 2015 slot tax.

According to Italian Gaming News, the measures are expected to bring in about 952 million euros in 2027. This figure is higher than the 700 million euros Prime Minister Giorgia Meloni announced last week. The largest items are 334 million euros from the PREU increase, 281 million euros from concession extensions, and 188 million euros from scratch cards. The technical report states that the PREU increase and concession extensions alone will bring in nearly 2 billion euros between 2027 and 2029.

The proposal does not introduce any new tax on online betting, and the lottery commission (aggio) remains unchanged. This confirms the expectation iGB reported last week that the bulk of the burden will fall on land-based retail. Some earlier reports had suggested that this contribution could fall on lottery and online operators. According to Agimeg, the sector has reacted. Jamma reported that the trade association As.Tro has called an emergency meeting of its technical committee today to assess the impact of the slot and VLT rules.

The proposal will first go to the Chamber of Deputies. Hearings are expected to begin around November 5, and amendments are due by November 17. The budget must be approved by December 31.