Estonian Tax and Customs Board

Unfortunately, in many countries gambling is still prohibited at the legislative level. But Estonia is not included in the list of such jurisdictions. On the territory of this country, gambling activity is subject to official licensing and is regulated by a special state body. Thanks to this favorable business climate, more and more online casino operators are gambling in Estonia.

Only operators with a positive reputation and who already have permission to carry out gambling activities can become Estonian Tax and Customs Board licensees. In addition, a prerequisite is that the gambling business should be the only activity in which the enterprise is engaged.

License types Estonian Tax and Customs Board

At the legislative level in Estonia, gambling is defined as entertainment, during which it is necessary to place a bet, and it is also possible to win a cash prize. Gambling business in Estonia is regulated by the Gambling Law. To date, two types of licenses can be obtained in Estonia:

1. Operating license. The holders of such a license can legally organize gambling: lotteries, betting, card and table gambling, slot machines, and so on. Also, the presence of an operating license allows you to organize gambling entertainment on the ship.
2. Activity license. Such a permit for gambling is issued for an indefinite period and is not transferable. Only holders of an operating license can apply for an operating license.

The range of services provided

Operators who have obtained both of these gambling business permits can provide their customers with the following services:

• Organization of lotteries;
• Organization of games, the result of which depends on a random outcome;
• Organization of games, the result of which depends on the skill of the players.

It is also worth noting that in Estonia, the amount of tax on the gambling business will depend on the direction of the operator’s activity:

• online casino – 5%;
• lottery – 18%;
• slot machines – the percentage of profit will depend on the number of slot machines presented.

Application for an Estonian Tax and Customs Board license

The validity of the license from the Estonian Tax and Customs Board is 5 years. The first step in obtaining such a permit for gambling activities is to submit an application to the Tax and Customs Board. Such an application must indicate the name of the owner of the company, the registration code, the physical address of the enterprise and the type of license that the operator wants to obtain. Also, the application must contain the address of the location of the game server with the software used to provide services to the players, as well as the IP address of the game platform.

In addition, it is necessary to indicate the full name, position and contact details of the person who provides IT support to the company, as well as the digital or physical signature of the person who submits this application. The application must indicate the validity period of the claimed license, as well as indicate the date of payment of the state duty.

Additional requirements

In addition, there are also 9 additional requirements for prospective Estonian Tax and Customs Board licensees. It is mandatory to provide the following information:

1. Detailed description of the software;
2. Information about the system of protection of personal data of players;
3. Security measures for users;
4. Game rules for each gambling entertainment available on the site;
5. Technical characteristics of all presented gaming equipment;
6. Expert assessment of the quality of the server and software;
7. Certificate of non-conviction and absence of debts from a legal entity;
8. Contact information of company representatives and the address of the physical office;
9. A document confirming the legal basis and capabilities of the regulatory body for offshore companies.

Benefits of an Estonian Tax and Customs Board gambling license

Every year more and more entrepreneurs choose Estonia to run their gambling business. And there are good reasons for this. We propose to consider in more detail the main advantages of this jurisdiction in the gambling entertainment market:

• Access to legitimate business throughout the European Union;
• Possibility of cooperation with the best software providers;
• The ability to conduct business relations with top reliable European banks, as well as popular and popular payment systems, which allows you to win the recognition and trust of users;
• Low taxes on gambling profits.

Reasons for a possible refusal to obtain a license

In any case, obtaining a gambling license is a labor-intensive and time-consuming process. To cope with this without the help of a qualified specialist is quite difficult. There are situations when, after submitting all the documents, losing time and energy, operators still receive a refusal on their application.

Self-licensing of a gambling company is a very time-consuming and complicated process, which is not recommended to be done without the help of qualified specialists. The reason is that you can lose a lot of time, effort and money, but still not get the desired license due to refusal from the Tax and Customs Department.

Cases of refusal to potential licensees

The Estonian Tax and Customs Board may refuse to obtain a license for the following reasons:

• Some of the shareholders or directors of the company have a criminal record or other type of criminal punishment;
• On the part of the potential licensee, violations of the current legislation of Estonia were revealed;
• The operator has in the past violated the laws and regulations of the gaming license regulation;
• In the past, a casino or other gambling establishment already had a revoked license;
• The presence of management problems in the company or non-compliance with corporate law by shareholders.

If potential licensees make a mistake at the stage of completing the necessary documentation or other stages of obtaining a license, they may be refused by the Estonian Tax and Customs Board.

Responsibilities of the Estonian Tax and Customs Board

The Estonian Tax and Customs Board is a special state body that makes all decisions about issuing licenses, refusing to grant gambling permits, or revoking existing licenses.

The following functions of this regulatory body can be distinguished:

• Control and regulation of the gambling entertainment industry;
• Control over the execution by licensees of all regulatory legal acts and applicable laws of Estonia;
• Control over the payment of all taxes and license fees by online casino operators;
• Maintaining a list of license holders;
• Publication on the official website of the opinions of experts who evaluate gambling activities.

Types of licensed gambling entertainment

The Estonian Tax and Customs Board has every legal right to request that all license holders conduct a thorough independent review of their gambling and software.

The following types of gambling are subject to licensing in Estonia:

• Slot machines;
• Poker;
• Lotteries;
• Sweepstakes;
• Card table gambling.

The procedure for obtaining an online casino license

The Estonian Tax and Customs Board highlights some differences in the licensing procedure for land-based gambling establishments and online casinos. But both of these forms of activity are regulated by the Gambling Law. With remote gambling, the result depends only on the electronic device and the random number generator. Users can take part in the gameplay through electronic means of communication: phones, laptops, computers and other gadgets that have access to the Internet.

If the Internet is used only for accepting a bet, conducting financial transactions or receiving game results, such gambling entertainment is not considered remote.

But land-based gambling establishments can only be opened in certain buildings, hotels, conference centers, shopping centers or other entertainment facilities. A land-based casino can only be registered at the address to which the local rural municipality or city government has given written permission.

Licensing features

The license for gambling entertainment, which is based on the skill of the players, is issued for 20 years. And the permit for slot machines and sweepstakes is valid from 5 to 15 years. The rural municipality or city government may give written consent for a shorter period than the one specified in the application.

An online casino has the right to provide services to residents of Estonia only if it has received a license from the Estonian Tax and Customs Board. If the operator’s server is physically located outside the country, the owners must provide the regulatory body with confirmation of regular technical inspections and quality control of the software. The operator must contribute to the prevention of money laundering in the country where the server is located.

Absolutely all licensees of The Estonian Tax and Customs Board can use cryptocurrencies as an available payment method. On the territory of Estonia, virtual currencies are recognized at the legislative level. The AML rules apply to the registration and verification of players. The electronic/mobile signature is widely used and accepted for registration and verification purposes.

Player Protection

The Estonian Tax and Customs Board guarantees each player safety, as well as constant support to protect against the negative impact of gambling establishments. These provisions are fixed at the legislative level. All holders of an Estonian gambling license are required to adhere to the following provisions:

• Do not allow persons under the age of majority to participate in the gambling process;
• Provide new users with the opportunity to set the maximum gaming budget that they can lose within a week, month or other period of time;
• Provide players with the ability to change the limit of the set amount;
• At the request of the players, remove the limits for the game budget;
• Do not accept bets that will increase the user’s losses above the established limit;
• Provide each user with a detailed history of his bets, winnings and other features of the gameplay;
• Perform identification and verification of the identity of each user;
• Register on the site the personal data of each user (full name, date of birth, identification code, date of the last entry and exit from the gaming platform). The data must be kept for 5 years;
• Keep a record of all bets made by the player;
• Keep a record of all financial transactions made by the player;
• Keep a record of all user winnings.

Mandatory available information

The following information must be freely available on the website of each online casino licensed by The Estonian Tax and Customs Board:

1. Name, address of the owner of the company, license number;
2. Rules of the game;
3. Information about the prohibition of the game for minors;
4. Responsible gambling rules.

On this page you can find a list of casinos that have received a Estonian Tax and Customs Board license. All these gambling platforms are proven, reliable and prestigious, so you can be sure of your safety and enjoy the gaming process!