European experience of gambling taxation: challenges, innovations and legal regulation

This article provides an in-depth analysis of gambling taxation systems in European Union countries, considering fiscal, legal, and social aspects. The authors defined the purpose of the study as identifying the main approaches to gambling taxation in the European Union countries, analyzing their impact on economic stability, regulatory efficiency and social security, as well as developing proposals for adapting Ukrainian fiscal policy in the field of gambling to European standards in the face of modern challenges. The authors examine the specific features of taxation across various European jurisdictions, including revenue-based taxation and gross gaming revenue (GGR) models, as well as issues related to the taxation of gambling winnings and the structure of licensing fees. Recent fiscal strategies in Italy, Slovakia, Romania, Estonia, Bulgaria, Slovenia, Czech Republic, Latvia, Lithuania and other EU states are analyzed, revealing a general trend toward increased government oversight, higher tax burdens, and intensified efforts to combat illegal gambling operators. Particular attention is paid to the social risks associated with the expansion of the gambling sector, especially the rise of gambling addiction, which increases the risk of player criminalization, debt accumulation, social maladaptation, and vulnerability to criminal exploitation. The study also explores state intervention tools aimed at reducing social harm, such as access restrictions, self-exclusion mechanisms, and stricter regulation of gambling advertising. Emphasis is placed on the role of digital technologies in monitoring the gambling sector and tracking financial flow. Furthermore, the article highlights a shift from traditional tax models toward adaptive systems that respond to the dynamics of online gambling and the growing need for international cooperation to prevent tax base erosion. Based on this analysis, the authors propose recommendations for aligning Ukraine’s gambling taxation policy with European standards to ensure both effective budget revenues and protection of citizens from the negative consequences of gambling under conditions of economic instability and wartime.