Georgia’s parliament approves international casino tournaments with tax breaks

Georgia's parliament approved legislation on 28 October 2026 allowing licensed casinos to host international gambling tournaments, with tax and fee incentives for events meeting specific criteria. The bill passed its final reading with 73 votes in favour and five against after the ruling Georgian Dream party fast-tracked the measure. The law requires at least 80% foreign participants for an event to qualify as an international gambling tournament and creates exemptions tied to prize pools above GEL3m (€1.05m).

How the law defines qualifying tournaments

The legislation defines an international gambling tournament as an event organised by a licensed casino that guarantees a prize pool in advance and where at least 80 per cent of participants are foreign nationals. The threshold was raised during parliamentary debate from the 70 per cent in the original draft to the final 80 per cent requirement.

Organisers may stage qualifying events at licensed casino premises or at approved external venues. The law permits organisers to generate revenue from tournaments and removed an earlier proposal that would have fined unauthorised organisers GEL150,000 (€52,350). Licensed operators that breach hosting requirements will face a fine of GEL50,000.

Fiscal and regulatory incentives for large events

The new framework attaches specific incentives once a tournament's prize pool exceeds GEL3m (€1.05m). Casinos that dedicate gaming tables exclusively to qualifying international tournaments with prize pools above that level will be exempt from the gambling business fees normally applied to gaming tables. Foreign nationals competing in tournaments with prize pools above GEL3m will be exempt from taxation on their winnings, while winnings are generally subject to a 20 per cent tax for other events.

The government linked the package of incentives to a broader regime aimed at attracting operators and foreign players. Last month the government confirmed the launch of the new Georgia international igaming licence regime. Random Systems Georgia (RSG), the firm designated to advise and oversee the regime, began rolling out the framework following a soft launch in July. The regime offers a five-year licence together with banking, payments and compliance services, including arrangements for gambling-coded MCC 7995 payment processing. See more on the regulatory changes in regulation and implications for casino operators in casino.

Parliamentary debate and political opposition

The bill was introduced and fast-tracked by the ruling Georgian Dream party and passed with 73 votes for and five against. The For Georgia faction voted against the measure. Members of the People’s Power party, aligned with the parliamentary majority, questioned the decision to accelerate the bill through readings. During the second reading, Eka Sepashvili warned the draft could lead to the popularisation of gambling.

Giorgi Sharashidze of For Georgia criticised the measure during debate, arguing that the government was transforming Georgia’s profile to attract tourism via gambling. The parliamentary Economic Policy Committee chair, Shota Berekashvili, defended the law as a tourism-focused initiative and compared the tournaments to sporting competitions that draw visitors, particularly in the off-season.

“These tournaments are, in a sense, similar to sporting competitions. Such tournaments are held in many European countries, and their main target is to develop the tourism industry,” said Shota Berekashvili.

“Georgian Dream is attempting to turn Georgia into a gambling country,” Giorgi Sharashidze told local media.

Religious and public concern

The Georgian Orthodox Church Patriarchate and the Public Defender raised questions about the rationale for promoting gambling-related events. Metropolitan Anton of Vani and Baghdati said the Patriarchate would discuss the issue before issuing a formal position, adding that many things were unclear. Archpriest Andria Jaghmaidze, head of the Patriarchate’s Public Relations Service, said he was surprised by the proposal and recalled the Patriarchate’s involvement in regulatory work on gambling that began in 2017.

Religious leaders and some lawmakers warned the incentive package could increase gambling’s social impact despite its tourism framing. Supporters maintain the events will attract foreign visitors and generate off-season economic activity.

Implementation and ancillary measures

The law allows organisers to host qualifying tournaments at approved external venues as well as casino premises and permits revenue generation from the events. Operators seeking to benefit from fee exemptions and winnings-tax relief must ensure tournaments meet the 80 per cent foreign participation threshold and the prize-pool criteria. The government’s international igaming licence regime, administered with assistance from Random Systems Georgia, complements the tournament law by offering a five-year licence plus payments and compliance services tied to cross-border operators, including MCC 7995 arrangements for payment processing.