Government Collects $52 mln from Gambling Sectors in 2010

TIRANA, May 11 – Despite a saving trend in overall consumption, gambling seems to be soaring in Albania. This is proved by the Ministry of Finance data which show taxes on casinos and betting vendors in 2010 rose to 5.2 billion lek (52 million dollars), up from 3.3 billion lek in 2009, registering a 63 percent increase. Last October, Albania’s parliament approved new legislation that would mean new taxes levied on gambling establishments and players’ winnings, setting the requirement that each winner must pay to 10 percent of the sum in taxes. Before that, the winnings were not taxed, though the government charged the licensing fees to the establishments. Gambling is a booming business in Albania and varies from casinos to sports betting. The government says it is simply trying to bring Albanian legislation up to EU standards and wants to make sure that gambling is done legally in licensed establishments. The changes also increased tax rates on national lotteries to 25 percent, and makes it illegal for them to be done online. The government had earlier increased licensing fees for gambling establishments, making it more expensive to do business in large cities like Tirana and Durres. Nonetheless the streets of Tirana are increasingly filled with small gambling establishments sporting Vegas-style lights and entrances. Albania has one casino, more than 20 bookmakers, 22 companies that organize gambling games and nine offering lottery tickets. Thousands of betting shops are scattered across the country. A gambling law, which has been in force for the past two years, bans people under 18 from entering betting shops. Regardless, according to non-governmental organizations, teenagers are often seen there.
While gambling may be on the rise in Albania, it also presents a dilemma as media often report on poor people who commit suicide after failing to pay off gambling debts.