Latvia - online gambling regulations

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Deni
  • Published: August 26, 2020

  • Updated: April 1, 2026

The online gambling industry has grown from strength to strength over the past few years. With the addition of mobile gambling, more and more players across the globe are actively choosing to take part in online gambling.

With the industry growing so rapidly more and more game developers are doing their best to release top-notch games in record time. In truth, when you visit any online casino today, you’ll find a decent range of over 300 online gambling games.

There is, however, one thing that can keep players from taking part in online gambling, or even result in punishment if they do decide to take part. With the rise of the online gambling industry, many governments have started focusing more on the gambling laws and regulations within their countries.

Online gambling regulations in Latvia
Online gambling regulations in Latvia

In this guide, we’re taking a look at the laws, regulations, history and other key aspects of the gambling market in Latvia. By the end of the article, you’ll have all the necessary information needed regarding online gambling.

The history and laws of gambling in Latvia

Latvia, much like Hungary, only gained independence in 1990 with the collapse of the USSR. It is only after this period that Latvia started building legitimate gambling venues. Unfortunately, the regulation of these establishments wasn’t as good as it should have been.

In the 1990s, casinos seemed to appear overnight.  At this time, not many companies were considered regulatory bodies, as no formal authority structure had been put in place.

Latvia only created the first part of their regulatory body, Lotteries and Gambling Supervision Inspection of the Republic of Latvia, in 1998. Finally, players had higher authorities to ensure their well-being and casino safety.

As a European country, Latvia has a high standard of living and a wealthy economy. The country is part of organisations such as the European Union, the Council of Europe, and NATO, to name only a few. In 2014, Latvia became a member of the Eurozone by adopting the Euro as its currency.

Regulation & licensing

Since gambling was first allowed in the country, a few things have changed. The Control Department is the government body that now controls and regulates all gambling activities in the area. Casino operators looking to acquire a licence, however, would have to do so through the Legal Department.

With the introduction of the Gambling and Lotteries Law of 2006, online casino gambling also became legal and regulated within the country. Under this law:

  • All online operators must obtain an interactive gambling licence.
  • Operators must comply with strict rules, including minimum payout requirements for certain games.
  • Licences must be renewed annually with the Lotteries and Gambling Supervisory Inspection.

Tackling illegal operators

Even though the laws state that all online operators who wish to operate within the country have to acquire a licence, there was very little done to prohibit unlicensed foreign operators before 2014. Then, in 2014, the government took a page out of Estonia’s law book and started creating a blacklist of all unlicensed sites. Any online casino sites found offering their services illegally will be banned, and their ISPs may be blocked.

The Latvian gambling industry today

Despite its strict laws and regulations, Latvia’s online gambling industry seems to be booming. It was reported that their gambling market grew its turnover by 13% in 2017. Most of the revenue and growth was generated from the online casino market.

Will online gambling winnings be taxed in Latvia?

Latvia was once a tax-free haven for gambling winnings. However, since 2017, new legislation has introduced taxation on larger prizes:

  • Winnings over €3,000 are taxed at 23%.
  • Winnings over €55,000 are taxed at 31.4%.

Fortunately for players, the operator automatically deducts taxes before winnings are paid out. This means:

  • You don’t need to declare the income during tax season.
  • No additional paperwork is required - the operator handles it all.

Online casino operators are saddled with a hefty tax amount on their annual revenue, and there has even been talk of raising the annual tax even further. In 2026, this came true, as the country introduced a major tax increase for operators.

Because of the sudden change in taxation, many foreign operators are taking a detour and skipping Latvia, which ultimately leaves players with fewer safe options to play. Thankfully, they have the entire fleet of international casinos at their disposal.

Is online gambling legal in Latvia?

Online gambling has been legal in the country since 2006, but strict laws and regulations exist to maintain control over the market. 

There are various legal online casinos to choose from, but players can also access some unlicensed foreign sites without the fear of punishment. The government is focused only on punishing operators offering services illegally rather than individual players.

CasinoWow conclusion

While Latvia is quite new to the gambling and online gambling scene, the country seems to have found its feet relatively quickly.  The best option remains to play with a trusted online casino that offers a safe and secure gambling environment.

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By Deni

Verified Casino Expert

Expertise: Casino Content Writing, Journalism & (PR), Gambling Regulations, Dutch & German Gambling Markets

Hi, I'm Deni! I'm a research obsessive with a passion for gambling regulations, market trends, and casino news. I dig deep into every topic I cover - so every article, review, or guide I write is built on solid research and real detail.

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Last updated: April 1, 2026

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