Bulgaria: Amendments to the Law on Gambling leads to diversion of investments for millions from Bulgaria

International Tax Review is part of Legal Benchmarking Limited, 1-2 Paris Garden, London, SE1 8ND

Copyright © Legal Benchmarking Limited and its affiliated companies 2026

Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement

Bulgaria: Amendments to the Law on Gambling leads to diversion of investments for millions from Bulgaria

pechilkova.jpg

Donka Pechilkova

According to a decision of the Sofia City Court, effectively from June 17 2013, a total of 22 sites for sports betting are forbidden by the State Gambling Committee. The reason is that they do not have the licence required by the Law on Gambling that entered into force last year. Among the online portals are the biggest betting sites in the world. The number of the blocked websites increases every two weeks, due to the new alternative websites that open daily. Officially the amendments, referring to hundreds of millions of leva and are not only connected with betting via the internet, but imposes an unprecedented censorship on the internet, comparable with that of countries like North Korea, China, Iran, Iraq, Syria and others.

The announcement of the forbidden sites list legally is treated as notice to the gambling companies to block the access to their sites from Bulgaria or to limit the acceptance of bets.

If the access is not stopped, the committee will then address the Sofia Regional Court to announce its verdict and if the court rules a decision in favour of the regulator, the ball then swings off to the internet suppliers who will have to ban access to the quoted sites.

The paradox is that in accordance with the Law on Gambling, the sites should have licences but at the same time there is no law frame that specifies what the procedure for issuing such licences is. Because of that, though there are deposited applications for the issuing of licences for online betting from big companies, the licensing procedure cannot start for a year now as the State Committee itself has not yet prepared what is necessary for the purpose of regulations to the law.

The fact is that this situation chased away companies that invested millions in the country, while in other European countries they sponsor, for example, football teams like Manchester United, Barcelona, Milan and others.

The conclusion is that in this way the state will stimulate with tens and even hundreds of millions of leva the illegal bookmakers throughout Bulgaria, which means that hundreds of millions of tax will not be delivered to the Bulgarian treasury.

Donka Pechilkova (donka.pechilkova@eurofast.eu)

Eurofast Global, Sofia Office

Tel: +359 2 988 69 77

Website: www.eurofast.eu

more across site & shared bottom lb ros

More from across our site

Overall revenues for the combined UK and Swiss firm inched up 2% to £3.6 billion despite a ‘challenging market’
In the first of a two-part series, experts from Khaitan & Co dissect a highly anticipated Indian Supreme Court ruling that marks a decisive shift in India’s international tax jurisprudence
The OECD profile signals Brazil is no longer a jurisdiction where TP can be treated as a mechanical compliance exercise, one expert suggests, though another highlights 'significant concerns'
Libya’s often-overlooked stamp duty can halt payments and freeze contracts, making this quiet tax a decisive hurdle for foreign investors to clear, writes Salaheddin El Busefi
Eugena Cerny shares hard-earned lessons from tax automation projects and explains how to navigate internal roadblocks and miscommunications
The Clifford Chance and Hyatt cases collectively confirm a fundamental principle of international tax law: permanent establishment is a concept based on physical and territorial presence
Australian government minister Andrew Leigh reflects on the fallout of the scandal three years on and looks ahead to regulatory changes
The US president’s threats expose how one superpower can subjugate other countries using tariffs as an economic weapon
The US president has softened his stance on tariffs over Greenland; in other news, a partner from Osborne Clarke has won a High Court appeal against the Solicitors Regulation Authority
Emmanuel Manda tells ITR about early morning boxing, working on Zambia’s only refinery, and what makes tax cool
Gift this article