Practica jocurilor de noroc

The practice of gambling in 2020

Taxation of slot-machine gambling organizers in 2020

Article from the series „Gambling practice”, by Anchidim Zagrean, vice-president ROMBET

In this article we summarize the practical aspects regarding taxation in the activity of slot-machine gambling – traditional games – respectively: slot-machine with unlimited win and slot-machine with limited risk and win.

The fees specific to this type of activity, as well as the payment terms, are provided in the special regulation on gambling in Romania. The other taxes and fees are regulated by the Fiscal Code and the fiscal procedures and accounting practices are found in the common regulations, in the form of fiscal procedures and accounting regulations.

I. Specific fees:
1. Annual license fee
– is established and due, in a fixed amount, representing the equivalent in lei of 20,000 euros, at the exchange rate of 4.7511 lei/euro, exchange rate valid for the entire period of 2020.
The annual license fee shall be declared and paid in advance as follows:
a) for the first year of activity, until the 25th of the month following the month in which the documentation was approved;
b) for the next nine years of activity, 10 days before the expiration of the previous year.
The tax claim, regarding the license fee, is established by the taxpayer’s tax return being assimilated with a tax decision, subject to further verification and produces the legal effects of the payment notice from the date of its submission. In the tax return the taxpayer must calculate the amount of the tax obligation, and this is provided by the special law. The practice of establishing the tax claim, of the nature of the license fee, is achieved by drawing up and submitting the Tax Return no. 100, until the above deadlines, as provided in the ANAF Order 587 of 2016, updated, by completing the name of the tax claim “536 – The fee for obtaining the gambling license” from the chapter “Taxes, fees and other obligations that are not paid in the unique account” by establishing its amount, as specified above.
The accounting is reflected in this operation, according to the accounting regulations, by debiting the expense account in advance and then, from here on a monthly basis, the quotas related to operating expenses are transferred, in correspondence with the tax obligation, of the nature of the license fee.

2. Annual authorization fee – is established and due, in a fixed amount, for each type of activity, as follows:
a) For slot machines with unlimited winnings, the annual fee for obtaining the operating authorization, established and due, representing the equivalent in lei of 3,600 euros, for each means of play, at the exchange rate of 4.7511 lei/euro, for the year of 2020 authorization.
The declaration and payment of the annual authorization fee is made in 4 equal quarterly installments, as follows:
– for the first quarter – until the 25th of the month following the month in which the documentation was approved;
– for the other quarters – until the 25th inclusive of the last month of the quarter (respectively March 25, June 25, September 25 and December 25) for the following quarter.
The tax claim, representing the fee for obtaining the operating license, is established by the taxpayer’s tax return being assimilated with a tax decision, subject to subsequent verification and produces the legal effects of the payment notice from the date of submission. In the tax return, the taxpayer must calculate the amount of the tax liability, as provided by the special law. The practice of establishing the tax claim, of the nature of the tax for obtaining the exploitation authorization, is achieved by drawing up and submitting the Tax Return no. 100, until the above deadlines, according to ANAF Order 587 of 2016, updated by completing the name of the tax claim “537 – Annual fee for obtaining the authorization to operate gambling” in the chapter “Taxes, fees and other obligations not payable in the unique account” by establishing its amount, as specified above.
The accounting is reflected in this operation, according to the accounting regulations, by debiting the expense account in advance and then, from here monthly, the quotas related to the monthly operating expenses are transferred, in correspondence with the fiscal obligation, of the authorization fee nature.
b) For slot machines with limited risk and gain, the annual fee for obtaining the operating authorization, established and due, representing the equivalent in lei of 1,500 euros, for each means of play, at the exchange rate of 4.7511 lei/euro, for authorization year 2020.
The declaration and payment of the annual authorization fee is made in 4 equal quarterly installments, as follows:
– for the first quarter – until the 25th of the month following the month in which the documentation was approved;
– for the other quarters – until the 25th inclusive of the last month of the quarter (respectively March 25, June 25, September 25 and December 25) for the following quarter.
The tax claim, representing the fee for obtaining the operating license, is established by the taxpayer’s tax return being assimilated with a tax decision, subject to further verification and produces the legal effects of the payment notice from the date of submission. In the tax return, the taxpayer must calculate the amount of the tax liability, as provided by the special law. The practice of establishing the tax receivable, of the nature of the tax for obtaining the exploitation authorization, is achieved by drawing up and submitting the Tax Return no. 100, until the above deadlines, according to ANAF Order 587 of 2016, updated, by completing the name of the tax claim “537 – Annual fee for obtaining the authorization to operate gambling” in the chapter “Taxes, fees and other obligations not payable in the unique account” by establishing its amount, as specified above.
The accounting reflection of this operation is done, according to the accounting regulations, by debiting the expense account in advance and then, from here monthly, the quotas related to operating expenses are transferred, in correspondence with the fiscal obligation, of the nature of the authorization fee.

3. Gambling addiction fee – established and due for slot machines with unlimited winnings, representing the equivalent in lei of 400 euro/authorized position/year, which is declared and paid by the organizer together with the authorization fee, at the 4.7511 lei/euro for the authorization year 2020.
The declaration and payment of the annual vice fee is made in 4 equal quarterly installments, respectively until the 25th of the last month of the quarter (respectively March 25, June 25, September 25 and December 25) for each quarter.
The tax claim, representing the defect tax, is established by the taxpayer’s tax return being assimilated with a tax decision, subject to further verification and produces the legal effects of the payment notice from the date of its submission. In the tax return, the taxpayer must calculate the amount of the tax liability, as provided by the special law. The practice of establishing the tax claim, of the nature of the defect tax, is achieved by drawing up and submitting the Tax Return no. 100 until the above deadlines, according to ANAF Order 587 of 2016, updated by filling in the name of the tax claim “539 – Addiction Fee” from the chapter “Taxes, fees and other obligations that are not paid in the unique account” by establishing the amount as specified above.
The accounting reflection of this operation is carried out, according to the accounting regulations, by debiting the account of operating expenses, corresponding to the tax calculated monthly, in correspondence with the fiscal obligation, of the nature of the addiction fee.
A copy of the tax returns or any other amendments there to as well as the related payment documents will be sent to ONJN, within 5 days from the date of payment.

4. Annual contribution – established and due, in a fixed amount of 1,000 euro year, at the exchange rate of 4.7511 lei/euro for the year 2020, by each gambling organizer, to be used in order to prevent addiction to gambling. ONJN’s own revenues have the legal nature of a budget receivable and are executed on the basis of the O.N.J.N. notification, which is an enforceable title, and the deadline for payment of the amounts provided is December 15 of each year.

We return, in the following issues of the magazine, with the practices and procedures of taxation on types of gambling…