Regulatory AuthorityNo dedicated regulatory authority (state lottery managed by government)
License CostVaries
Regulation by Activity Type
Casinos
Prohibited
Online Casinos
Prohibited
Betting
Prohibited
Online Betting
Prohibited
Lotteries
Prohibited
Poker
Prohibited
Highlights
All forms of gambling in Bhutan are generally prohibited except for a state-backed lottery.
There is no formal licensing regime for casinos, betting, or online gambling operators in Bhutan.
Online gambling is not specifically regulated, creating a legal grey area for internet-based play.
Enforcement of gambling bans is inconsistent, with little evidence of prosecution for online play.
Severe penalties exist for illegal land-based gambling, including possible jail sentences up to 12 months.
No specific gambling tax framework exists outside the state lottery, as private gambling is illegal.
The state lottery uses a unique voucher system, with deferred prize payouts rather than immediate winnings.
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Legislation
Primary Legislation
Bhutan maintains a strict legal framework prohibiting most forms of gambling. The primary legislation governing gambling in Bhutan is a general prohibition under national law, which outlaws all forms of gambling except for the state-backed lottery. There are no specific, modern statutes or comprehensive gambling acts dedicated solely to the regulation of gambling activities. Instead, the legal structure relies on broad prohibitions that encompass both land-based and online gambling. The only explicitly permitted form is the government-operated lottery, which functions under special authorization. No separate legal provisions or codes address online gambling, and there is no dedicated regulatory framework for internet-based gaming activities.
Regulatory Authority
Oversight and enforcement of gambling laws in Bhutan fall under the purview of government authorities, with no independent gambling regulatory commission or specialized agency established for this sector. The operation of the national lottery is managed directly by a state entity, which acts as the sole legal operator and supervisor for this permitted activity. All other gambling-related matters, including enforcement against illegal gambling, are handled by general law enforcement agencies and relevant government departments.
Supervision of the state-backed lottery
Enforcement of the general prohibition on unauthorized gambling activities
Oversight of compliance with national laws regarding gambling
License Types
Gambling Licensing System in Bhutan
Bhutan does not currently operate a formal gambling licensing system for commercial operators. The regulatory framework in Bhutan strictly prohibits most forms of gambling, with the sole exception of a state-backed lottery. There are no official procedures or authorities in place for issuing licenses for casinos, sports betting, online gambling, or other gaming activities.
Types of Licenses Available
There are no licenses available for commercial gambling activities, including land-based casinos, sports betting, or online gambling.
The only permitted form of gambling is the state-run lottery, which does not operate under a commercial licensing model but is managed directly by the government.
Application Process
There is no application process for obtaining a gambling license in Bhutan, as no such licenses are issued for private or commercial operators.
All requests to operate gambling establishments or platforms are not entertained under the current legal regime.
Duration, Renewal, and Eligibility
No duration or renewal conditions exist, as there is no licensing system for gambling operations.
Eligibility criteria are not defined, since private or commercial gambling operations are not permitted.
Licensing Costs and Financial Requirements
There are no licensing fees, costs, or financial requirements for gambling operators, as no licenses are issued.
The state lottery is the only exception, and it is operated directly by the government without a commercial licensing process.
Key Requirements for Obtaining and Maintaining Licenses
There are no key requirements for obtaining or maintaining gambling licenses for commercial entities, as licensing is not available.
Any attempts to operate unauthorized gambling activities are considered illegal and subject to penalties under Bhutanese law.
In summary, Bhutan does not offer any form of commercial gambling licensing, and all gambling activities except for the government-run lottery are strictly prohibited. There are no licensing procedures, costs, or requirements for private operators in the country.
Gambling Tax
Tax Rates for Gambling Operators in Bhutan
Bhutan maintains a comprehensive ban on all forms of gambling, with the sole exception of the state-run lottery. There are no licensed gambling operators in the country aside from the Bhutan Lottery Limited, which manages the official lottery. As a result, there are no established tax rates for commercial gambling operators, either for land-based or online gambling activities.
Basis for Taxation
There is no formal taxation system for gambling operators in Bhutan, as commercial gambling is prohibited.
The only legal gambling activity is the state lottery, which is operated by a government entity. Any revenues generated from the lottery are handled directly by the state, and not subject to a separate operator tax regime.
Tax Reporting and Payment Requirements
Since private or commercial gambling operations are not permitted, there are no tax reporting or payment procedures established for gambling operators.
All proceeds from the state lottery are managed by the government, and there are no requirements for private entities to report or remit gambling-related taxes.
Tax Incentives, Exemptions, or Special Provisions
No tax incentives, exemptions, or special provisions exist for gambling operators in Bhutan, as private gambling operations are not recognized or regulated.
The state lottery, as a government monopoly, does not operate under a commercial tax framework.
Summary Table: Gambling Operator Taxation in Bhutan
Type of Gambling
Tax Rate
Tax Basis
Reporting & Payment
Incentives/Exemptions
Commercial Casino, Betting, Online Gambling
Not applicable
Not applicable
Not applicable
Not applicable
State Lottery
Not subject to operator tax; state-run
Government revenue
Handled by government
Government monopoly
In summary, Bhutan does not have a taxation system for gambling operators due to the prohibition of all forms of commercial gambling. The only legal gambling activity is the state lottery, whose revenues are managed directly by the government without a separate taxation framework for operators.
Prohibited Individuals
Age Restrictions and Identification Requirements
There is no officially established minimum legal gambling age in Bhutan for most gambling activities, as virtually all forms of gambling are prohibited. Since only government-run lotteries are permitted, any age or identification requirements would apply exclusively to lottery participation. However, there is no publicly available information specifying a minimum age or mandatory identification checks for lottery players in Bhutan.
Prohibited Gambling Activities and Game Restrictions
All forms of gambling are prohibited in Bhutan except for state-sanctioned lotteries.
Casino games, sports betting (including betting on traditional sports such as archery), slot machines, and all other gambling activities are expressly forbidden.
Online gambling, including participation in foreign-based online casinos and betting sites, is also illegal under Bhutanese law.
There are no licensed land-based casinos or betting shops in the country.
Advertising and Marketing Limitations
Advertising or promoting any form of gambling, other than government-approved lotteries, is strictly prohibited.
There are no legal avenues for marketing casino games, sports betting, or other gambling products in Bhutan.
Promotional activities related to illegal gambling can result in penalties or prosecution.
Responsible Gambling Requirements and Player Protection Measures
Due to the near-total prohibition of gambling, there are no formal responsible gambling requirements or player protection measures mandated for gambling operators in Bhutan.
No legal framework exists for self-exclusion, deposit limits, or other harm-minimization tools, as legal gambling is limited to state lotteries.
There are no official support services or helplines for problem gambling within the country.
Geographic and Location Restrictions
There are no licensed gambling venues of any kind within Bhutanese territory, except for locations where government lotteries are sold.
Physical casinos, betting shops, and gaming halls are entirely banned and do not operate anywhere in the country.
Participation in gambling activities, both in-person and online, is illegal for Bhutanese residents regardless of location within the country.
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Timeline
Year/Date
Event
1977
Comprehensive ban on all forms of gambling, including casinos and games of chance, implemented by royal decree under the third king, Jigme Dorji Wangchuck.
2016
Establishment of Bhutan Lottery Limited as the sole legal operator for lottery games, making the lottery the only permitted form of gambling in the country.
2017
Government reiterates and strengthens the enforcement of the gambling ban, focusing on shutting down illegal gambling venues and activities.
2020
Authorities intensify crackdowns on unauthorized gambling operations, particularly targeting popular card games and underground betting.
2024
Regulatory stance remains unchanged: all forms of gambling except the state lottery remain officially prohibited, with no licensing system for casinos or online gambling.
Requirements
Technical and Operational Requirements for Gambling Operators in Bhutan
Bhutan maintains a comprehensive prohibition on all forms of gambling except for the state-run lottery. As of 2025, there are no licensed gambling operators, and no official regulatory framework exists for technical or operational compliance in the private gambling sector. The following summarizes the current situation:
There are no technical standards or software certification requirements for gambling operators, as private gambling is not permitted.
No data protection, privacy, or server location requirements are specified for gambling operators, since no legal private operators are recognized or regulated.
There are no anti-money laundering (AML) or Know Your Customer (KYC) procedures mandated for gambling operators, as the activity is not allowed beyond the state lottery.
No financial reporting, auditing standards, or record-keeping requirements exist for private gambling operators.
There are no technical implementation requirements for responsible gambling tools, as private gambling operations are not authorized.
The only legal gambling activity is the digital lottery operated by Bhutan Lottery Limited, which is subject to its own internal controls and oversight as a state enterprise. No information is publicly available regarding the technical or operational standards applied to this lottery.
In summary, there are currently no technical or operational requirements for private gambling operators in Bhutan due to the comprehensive prohibition of gambling activities outside the state lottery.
Gambling regulations are subject to change. The information provided on this page was accurate at the time of publication, but may not reflect the current regulatory landscape. Always consult official sources for the most up-to-date information before making any gambling-related decisions.
