Official Dismissed Over Estonia’s iGaming Tax Error

(AsiaGameHub) –   A long-tenured advisor has been fired by the Riigikogu Chancellery just months after Estonia embarked on a new chapter for iGaming taxation. 

Estonian officials were forced into a scramble after an error in the country’s Gambling Tax Act led to millions in lost iGaming tax revenue.

Estonian broadcaster Eesti Rahvusringhääling (ERR) has reported that the official—whose name the outlet has not revealed—was dismissed following a clerical mistake in the act.

The legislation was approved in December of last year, leading to online casinos being tax-exempt in 2026. The mistake was identified in January and has since been rectified. 

Nonetheless, the harm is already done, with the state projected to lose around €4 million in anticipated gambling tax revenue for that year.

Antero Habicht, Director of the Riigikogu Chancellery, told ERR: “In January, disciplinary actions were launched at the Riigikogu Chancellery, which led to the official being removed from their position as a disciplinary sanction for a severe violation of official responsibilities. 

“The catalyst for this was an error committed by the official while handling a law draft, though the end of the employment relationship was not solely due to the error itself, but also other case-related circumstances that came to light during the disciplinary actions.”

No further details about the disciplinary actions were revealed, though Habicht stated that the contract termination was deemed “inevitable and justified” and not politically motivated.

Yet, ERR has reported that a five-page directive from the Riigikogu Chancellery showed the official was cognizant of the error by 5 January. 

Even so, the Chancellery’s leadership remained uninformed and only became aware of the mistake a week later, through media coverage of an ERR report on 12 January.

Estonia’s remote gambling tax is set to decrease from 6% to 4% by 2029, reducing by 0.5% each year, with all generated funds allocated to culture and sports.

The aim of reforming its iGaming market was to establish Estonia as an iGaming hub in the Nordics and broader Europe, drawing in companies and investments that can compete with industry players like Malta, the Isle of Man, and Gibraltar.