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Gambling is not retail, or why gambling does not need cash registers

War is not only about destroying infrastructure and technology and killing civilians but also about significant changes in the whole society's way of life.

That is why much that was common and obvious in times of peace becomes unnecessary and sometimes even harmful during the war. For instance, officials may continue to behave as if there is no war.

First of all, we talk about the regulation of economic relations. It is here that the destructive influence of many managerial decisions is the most obvious. It is especially the case when, instead of creating conditions for business adaptability, officials consistently fail to notice the war and demand even heavier tax burden for entrepreneurs and additional costs for unnecessary things.

Everyone suffers from this:

·       business surviving in force majeure conditions of war;
·       citizens who have lost their jobs or must seek asylum in other regions of Ukraine or abroad;
·       the State receiving fewer and fewer resources (including budgetary funds) because of the challenges faced by businesses and citizens.

Today, legal gambling operators in Ukraine, despite all the difficulties, are not only trying to keep their staff and pay salaries and taxes but have also begun systematic work on volunteering and financial support for the AFU, territorial defence units, and State’s humanitarian initiatives. However, they may be forced to use payment transaction registers (RROs) and/or software payment transaction registers (PRROs).

This is done contrary not only to the current legislation but also to the official explanation of the State Tax Service regarding the procedure for using RROs/PRROs.

Therefore, the Ukrainian Gambling Council (UGC), as a specialized business association uniting more than 80% of all licensed gambling operators in Ukraine, is forced to remind that gambling operators providing exclusively online services are not required to use RROs/PRROs.

According to the regulations set out in Article 9(14) of the Law on cash registers, “when paying for services exclusively with the help of remote banking systems and/or funds transfer services”, payment transaction registers shall not apply!

Anton Kuchukhidze, Chairman of the UGC, noted the lack of an unequivocal position of the NBU regarding such services given the letter of the National Bank No. 57-0010/2314 dated 13.01.2021, according to which “funds transfer services” include, in particular, services of non-banking financial institutions with an NBU license to transfer funds without opening accounts, enabling consumers to pay for goods (services) remotely.

Practically all gambling operators, members of the UGC, make settlements with gamblers only through the services of such non-banking financial institutions. That is why officials’ demand to use RROs is groundless and wilful. And it is not something that should be done.

I should note that only by unifying the position of all participants in the Ukrainian legal gambling market it will be possible to resist the arrogance of certain state structures.

That is why I urge all licensed gambling operators that have not yet joined the UGC to observe this recommendation since its implementation is in the common interest of the domestic legal gambling market as a whole.
Anton Kuchukhidze