Georgia Activates International iGaming Licence with 6% GGR Tax
Jacob Mitchell
Key Takeaways:
- Georgia officially launched its international iGaming licence framework.
- Random Systems Georgia oversees the new regulatory regime.
- Licences are valid for five years, targeting foreign players only.
- Operators will pay a 5% GGR tax and a 1% monitoring fee.
- The framework aims to establish Georgia as an iGaming hub.
- Georgian residents are excluded from these international platforms.
Georgia has officially activated its international iGaming licence framework, marking the full launch of a system designed to attract operators serving players outside the country. This follows a soft launch that commenced in July. Random Systems Georgia (RSG), the firm responsible for advising and overseeing the new regime, confirmed the rollout.
Framework Details and Strategic Intent
The new framework offers a five-year licence, complemented by a comprehensive package of support services. These services include banking, compliance, and online casino payment methods, all operating under MCC 7995 codes. Vakhtang Katamadze, a supervisory board member at RSG, explained that the strategic approach is to build "a country-level ecosystem rather than a standalone licensing jurisdiction." This initiative is intended to position Georgia as a significant hub for international gambling operations, fostering a robust environment for global iGaming businesses.
Industry Impact and Financial Incentives
Under the new framework, operators holding these international licences are permitted to offer real money casino games, slot products, and sports betting. Crucially, these services are exclusively available to foreign citizens and stateless persons. Georgian residents are explicitly excluded from these platforms, a restriction the government states is necessary to protect the local population from increased exposure to gambling risks. The proposal includes clear financial incentives to attract foreign operators, featuring a 5% tax on gross gaming revenue (GGR), a 1% monitoring fee, and an annual permit cost of GEL 100,000. This tax burden is considerably lower than the 20% rate currently applied to online casinos serving Georgian players. Lawmakers contend that this reduced tax rate will encourage investment and facilitate job creation in related sectors, such as software development, cybersecurity, and digital marketing.
Regulatory Structure and Future Adjustments
Draft legislation for the new system outlines three distinct online casino licence categories: online casino products, slot games, and sports betting, with each licence valid for a five-year period. Operators will be subject to monthly tax obligations throughout the duration of their licence. Violations of payment or compliance rules could lead to fines of GEL 20,000. Another significant change involves limiting operators to a single domain per permit, a departure from the previous allowance of two domains. Existing licence holders will be provided with a transitional period to adjust to this new regulation before it takes full effect. The bill, introduced by MPs Shota Berekashvili, Giorgi Barvenashvili, Tornike Berekashvili, Anton Obolashvili, and Mariam Lashkhi, represents a clear legislative effort to establish gambling as an export-oriented industry, distinct from domestic consumer activity.


