Italy’s 2027 Budget Bill Raises Gaming Machine Taxes and Extends Land-Based Concessions Through 2029

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Italy’s 2027 Budget Bill Raises Gaming Machine Taxes and Extends Land-Based Concessions Through 2029 Featured News Image

Summary

  • Italy's 2027 budget proposes increasing PREU taxes on AWP machines from 24% to 25% and VLTs from 8.6% to 9.6%, with projections to generate €952 million in 2027 and nearly €2 billion through 2029
  • Slot machine betting limits would double from €1 to €2 maximum stakes, with payouts increasing from €100 to €200, while existing gambling concessions expire December 31, 2026 would be extended through end of 2029
  • New esports and LAN gaming licensing regime introduced requiring ADM approval with fees of €200 per device, €1,000 per venue, and €10,000 per online platform, while online gambling taxes remain unchanged

Italy’s government has proposed a package of gambling measures in its 2027 budget bill that would raise taxes on gaming machines, double slot betting limits and extend land-based gambling concessions through the end of 2029, with the measures projected to generate around €952 million in 2027.

The certified budget text proposes an increase in the PREU levy on amusement-with-prize (AWP) machines from 24% to 25% and on video lottery terminals (VLTs) from 8.6% to 9.6%, effective January 1, 2027. Machines returning at least 70% of stakes in prizes would qualify for a reduced 20% rate.

Slot Limits Set to Double

Alongside the tax changes, maximum stakes on slot-machine games would double from €1 to €2. Maximum payouts would increase from €100 to €200.

The bill will move to the Chamber of Deputies, where parliamentary hearings are expected to begin late this week, according to Focus Gaming News. Amendments must be submitted by November 17, with final approval required before December 31.

Concession Extensions Through 2029

The bill would extend Italy’s existing betting, slot, VLT and bingo concessions, which are due to expire on December 31, 2026. The licenses would remain in force until the end of 2029.

Under the extension framework, betting shops where gambling is the primary business would pay €14,250 annually for each operating right. Outlets where gambling is a secondary activity would pay €8,550. Slot and VLT network concessionaires would face charges of €150 per slot permit and €7,500 per VLT right across the extension period. Bingo operators would pay monthly charges ranging from €6,500 to €14,500 depending on card sales.

The Gratta e Vinci scratchcard concession is also set to be extended through 2029 for €188 million. Lotto and SuperEnalotto products would gain an additional weekly draw.

Revenue Projections

The government estimates the measures could generate around €952 million in 2027, with almost €2 billion projected between 2027 and 2029, according to Focus Gaming News. The Ministry of Economy and Finance (MEF) has previously said it expects gambling tax revenue to contribute €700 million across 2026 and 2027.

The budget proposal estimates the PREU increase could bring in €334 million a year, while concession extensions could generate €281 million plus €188 million from the scratchcard concession.

Esports Licensing Regime Introduced

The draft legislation proposes a formal licensing system for esports and LAN gaming venues offering skill-based games without cash prizes. Operators would require approval from Italy’s Customs and Monopolies Agency (ADM). Fees are set at €200 per device, €1,000 per venue and €10,000 per online platform. Gambling and betting activities would be prohibited within those facilities.

The package also includes a settlement mechanism aimed at resolving long-running disputes linked to a 2015 levy imposed on slot machines.

Online Gambling Taxes Unchanged

The bill does not include any tax changes for online gambling, which saw the introduction of a new licensing regime last year. Lottery commission arrangements also remain unchanged.

That omission has already drawn criticism from sections of the land-based gambling industry. Trade association As.Tro has called an emergency meeting of its technical committee to assess the potential impact of the higher machine taxes and concession measures, according to Focus Gaming News.

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Author: Shahanshah Alam
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Shahanshah’s path through iGaming spans more than ten years, and sports betting platforms have been a consistent thread throughout it. He’s evaluated sportsbooks across dozens of markets, comparing odds formats, market depth, live betting features, and payout reliability, always with the same question in mind: does this platform deliver for the player, or just for the marketing team? That question shapes everything he builds and reviews today.