Italy Budget Bill Raises AWP and VLT Tax, Extends Gaming Licences to 2029

Italy's 2027 budget bill raises PREU to 25% on AWP and 9.60% on VLTs from 1 January 2027 and extends betting, bingo and lottery licences to 2029.

Bound budget document on a desk overlooking Rome rooftops at dusk

Italy's Budget Bill 2027–2029 raises the PREU machine tax to 25% on AWP machines and 9.60% on VLTs from 1 January 2027, and extends betting, bingo, instant-lottery and machine-network licences to 31 December 2029.

The gaming measures sit in Articles 23 to 29 of the bill, in the version carrying the stamp of the Ragioneria dello Stato, the State accounting office. According to trade outlet JAMMA's summary, they still have to pass parliamentary examination, so the terms below are the government's proposal rather than enacted law. The package is aimed at the physical network: amusement-with-prizes (AWP) machines, video lottery terminals (VLTs), bingo halls, scratch cards and LAN gaming rooms.

How much does the machine tax rise?

Article 23 lifts the single tax levy on machines, PREU (prelievo erariale unico), to 25% of stakes on AWP machines and 9.60% on VLTs from 1 January 2027. It replaces the rates set in Law 160/2019, which JAMMA's summary gives as 24% and 8.6%.

ItemCurrentBudget Bill proposal
PREU, AWP machines24% (per JAMMA)25%
PREU, VLTs8.6% (per JAMMA)9.60%
PREU, AWP paying out at least 70%n/a20%
Maximum AWP stake€1€2
Maximum AWP win€100€200

The 20% rate gives operators a financial reason to program machines with higher payout ratios. Doubling stake and win limits changes the game math for AWP route operators and for manufacturers certifying new software.

What happens to machines without cash prizes and to LAN rooms?

Article 24 doubles the maximum cost of play on machines that pay no cash prizes, from €1 to €2. Owners of older machines can keep them in use by filing a declaration with the customs and monopolies agency (Agenzia delle Dogane e dei Monopoli, ADM) within 60 days and paying a one-off €1,000 per machine by 30 April 2027. Machines outside the scheme lose their temporary authorisation and face confiscation, and a declaration naming the wrong location carries a fine of €100 to €500.

Article 25 brings LAN rooms into a licensing regime. Rooms need a two-year ADM authorisation, must have at least 20 stations and cannot take bets. Minors may enter for age-appropriate games under the PEGI rating system. ADM has eight months to issue implementing rules.

LAN room chargeAmount
Per machine€200
Per room€1,000
Per game€2,000
Per online platform€10,000
Flat entertainment-tax base, per machine or station a year€15,000
Flat base, large simulators€25,000

Which licences are extended, and at what price?

Article 26 extends betting licences and the AWP and VLT network licences to 31 December 2029. Extension comes with recurring fees.

LicenceFeePayment
Betting, main-activity point of sale€14,250 a yearTwo instalments, 30 April and 31 October
Betting, ancillary point of sale€8,550 a yearTwo instalments, 30 April and 31 October
AWP network€150 per authorisationNine instalments over the extension
VLT network€7,500 per right held at 30 November 2026Nine instalments over the extension

Network concessionaires should check their VLT and AWP counts as of 30 November 2026, since that date fixes the VLT fee base.

What do bingo, Gratta e Vinci and the draws get?

Article 27 extends bingo concessions that expire at the end of 2026 to 31 December 2029. Monthly indemnities run in 81 revenue bands, from €6,500 up to €14,500 for rooms above €17m. Indemnities for the period past the extension are recalculated at €3,250 to €11,250. The minimum distance for relocating a hall from the nearest bingo hall falls from 30 km to 15 km, which opens more sites to operators looking to move.

Article 28 extends the instant-lottery licence, known as Gratta e Vinci, to 31 December 2029 for €188m. The payment is split into €94m due on 31 March 2027 and €94m due on 30 September 2027.

Article 29 tells ADM to set up an additional weekly Lotto and SuperEnalotto draw on Wednesdays within 60 days of the law taking effect.

What operators should watch next

The bill's passage through parliament is the main variable. Amendments could alter rates, instalment dates or the 70% payout threshold before the 1 January 2027 start. Operators with route networks should model the 25% and 9.60% PREU rates against the new €2 stake limit, and bingo and betting concessionaires should schedule the 30 April and 31 October fee dates alongside the March and September lottery payments.

Italy is not alone in reworking its gambling rules. Bulgaria, for instance, recently moved to ban most gambling advertising, and the UK regulator has said it cannot yet reliably quantify the illegal online market. Readers tracking the wider picture can follow Gamingo's weekly global gambling roundups for related regulatory moves.

Status reviewed on 6 November 2026. Rates, fees and dates come from the text of the Budget Bill 2027–2029, with the prior PREU rates taken from JAMMA's summary of it. More regulation news and EMEA coverage.

Frequently asked questions

What is the new PREU rate on AWP and VLT machines in Italy?

Under Article 23 of Italy's Budget Bill 2027–2029, PREU rises to 25% of stakes on AWP machines and 9.60% on VLTs from 1 January 2027. AWP machines programmed to return at least 70% of stakes as winnings qualify for a reduced 20% rate.

Until when are Italian betting and machine-network licences extended?

Article 26 extends betting licences and the AWP and VLT network licences to 31 December 2029. Betting licence holders pay €14,250 a year per main-activity point of sale and €8,550 per ancillary point, in two instalments due 30 April and 31 October.

How much does the Gratta e Vinci licence extension cost?

Article 28 extends the instant-lottery licence, known as Gratta e Vinci, to 31 December 2029 for €188m. The payment is split into two equal instalments of €94m, due on 31 March 2027 and 30 September 2027.

Is the Italian budget bill with the gaming provisions already law?

No. The gaming measures sit in Articles 23–29 of the Budget Bill 2027–2029, which still has to go through parliamentary examination. The tax and licence terms described apply only if parliament passes them in this form, so figures may change before enactment.

What changes for bingo halls under the Italian budget bill?

Article 27 extends bingo concessions expiring at the end of 2026 to 31 December 2029. Monthly indemnities run in 81 revenue bands from €6,500 up to €14,500 for rooms above €17m, and the minimum distance when relocating from the nearest bingo hall falls from 30 km to 15 km.

What are the new rules for LAN rooms in Italy?

Article 25 requires two-year ADM authorisations for LAN rooms, with fees of €200 per machine, €1,000 per room, €2,000 per game and €10,000 per online platform. Rooms need at least 20 stations, cannot accept bets, and entertainment tax uses a flat base of €15,000 per station a year.

Jerome McNamara

Jerome McNamara covers gambling regulation, legislation and enforcement for Gamingo News, with a focus on Europe and the United States.