Romania Increases Tax on Players' Winnings

Romania has introduced higher taxes on gambling winnings after a new fiscal package officially took effect on 1 August. The measure is part of the government's wider effort to reduce the country's growing budget deficit and bring public finances closer to European Union requirements.

New Tax Rates Apply Across All Prize Levels

Under the updated rules, every category of gambling winnings is now taxed at a higher rate than before.

Prizes worth up to RON 10,000 (around €2,000) are now subject to a 4% tax, compared to the previous 3%.

For winnings between RON 10,001 and RON 66,750 (approximately €13,350), players must pay a fixed RON 400 (€80) plus 20% of the amount exceeding RON 10,000.

The highest tier covers winnings above RON 66,750. In these cases, the tax is set at RON 11,750 (€2,350) together with 40% of the amount exceeding the upper threshold.

The revised withholding system increases the amount collected by the state regardless of the size of the payout.

Part of a Broader Budget Strategy

The higher gambling tax forms part of a broader fiscal package introduced by Prime Minister Ilie Bolojan's government. Approved in July and effective from 1 August, the measures are designed to improve Romania's financial position.

The country is currently running the largest budget deficit in Central Europe at 7% of GDP, putting it above the threshold set by the European Commission. Alongside the gambling sector, the government has also increased VAT, lifted excise duties and tightened tax rules in several other parts of the economy.

Wider Gambling Reform Continues

The tax increase comes as Romania continues discussing broader changes to its gambling legislation.

Following the election of President Nicușor Dan and Prime Minister Ilie Bolojan, the ruling coalition has renewed work on updating the country's regulatory framework. Several coalition members have called for changes to the National Office for Gambling (ONJN) after criticism of its oversight and the launch of corruption investigations involving one former and one current senior official.

Lawmakers are also considering additional player protection measures, including a proposal to increase the legal gambling age from 18 to 21, although the initiative has not yet received parliamentary approval.

What the Higher Tax Means for Players

The biggest difference for players is simple: they will keep less of their winnings than before. The extra 1% on smaller prizes is unlikely to change much for occasional visitors, but the new rules become far more significant as winnings increase, especially above RON 66,750.

Anyone fortunate enough to land a larger payout will now see a noticeably bigger deduction before receiving their money. The reform does not change how casinos operate or what games they can offer, but it does reduce the amount players ultimately take home from taxable winnings.

Whether the new system generates additional budget revenue without reducing gambling activity will become clearer in the coming months. Industry observers are also expected to watch whether the higher tax encourages some Romanian players to look for alternatives outside the regulated market, a challenge that several European jurisdictions have faced after increasing gambling-related taxes.