LEGALIZATION OF GAMING BUSINESS IN UKRAINE AS A WAY OF INCREASE REVENUE TO THE STATE BUDGET

Purpose – analyze the impact of gaming business legalization in Ukraine on state budget revenues. It aims to explore the economic benefits of this process, including increased tax revenues, licensing fees, and investment attraction. Additionally, the article seeks to highlight the potential risks and challenges associated with gambling regulation, such as social consequences and the necessity of effective state control. Design/methodology/approach – In the article, a method of document analysis was employed to examine the legal framework governing KRAIL’s operations and the oversight of gambling activities in Ukraine. This method was also applied to the review of KRAIL's activity reports from 2021 to 2024, including statistical data on financial contributions to the state budget, the quantity of licenses issued across various business categories, and the volume of tax revenues generated by the gambling industry during this period. Furthermore, an economic-mathematical approach was utilized, specifically the logarithmic factor analysis of multiplicative models, to analyze the average amount of funds contributed to the state budget per license issued by KRAIL for key business types in Ukraine from 2021 to 2023 Findings – This study successfully proved the main hypothesis, namely: “The legalization of the gambling business in Ukraine will contribute to increased revenues to the state budget”. The study allowed for the identification of the main prospects and risks associated with the legalization of the gambling business in Ukraine. The legalization of the gaming industry has contributed to state budget revenues through licensing fees, taxes, and associated economic activities. However, the actual fiscal impact depends on effective tax collection and enforcement mechanisms. The impact of the legalization of the gambling business on the economic, social and other aspects of the country’s development was assessed Practical implications – Іn general, the practical application of the results from the article can contribute to the development of the gambling business in Ukraine, ensuring its transparency, efficiency and social responsibility. This article may be of particular interest to researchers and experts, as the research results may form the basis for further research in the field of gambling business and its impact on the economy and society. Experts can also use the research results to develop recommendations for improving the regulation of the gambling business and increasing its effectiveness. It is also of great interest to gambling market participants, as the research results can help gambling operators make informed decisions about their activities, taking into account market trends and regulatory requirements, and information on the prospects for the development of the gambling business in Ukraine can contribute to attracting investment in this area. The research results can also be of particular value to public authorities, as the research results can be used to develop an effective strategy for the development of the gambling business in Ukraine, taking into account economic, social and other aspects. It is important to note that gambling legislation in Ukraine is subject to change, especially due to the ongoing conflict. Always refer to the most current legislation and regulatory framework. Originality/value – This article provides a comprehensive analysis of the legalization of the gaming business in Ukraine as a tool for increasing state budget revenues. Unlike previous studies that focus solely on the economic impact, this research also considers the balance between financial benefits and social risks. The originality of this study lies in its examination of Ukraine’s unique regulatory framework, comparing it with international best practices, and evaluating the effectiveness of current policies. The article contributes to the ongoing discussion on responsible gambling, state control, and the long-term sustainability of the legalized gaming industry. Also, the conclusions and recommendations offered in the article can help in developing an effective strategy for the development of the gambling business in Ukraine. The analysis of KRAIL’s activities will contribute to the improvement of legislation governing the gambling business, ensuring its transparency and effectiveness. Information on the prospects for the development of the gambling business in Ukraine can contribute to attracting investment in this area. The scientific value is explained by the fact that the article can serve as a basis for further research in the field of gambling business and its impact on the economy and society.