Sports betting is completely legal in Azerbaijan and operates under strict government regulation and oversight. While most forms of casino gambling are banned in the country, sports betting and lotteries are specifically permitted by law with proper licensing requirements (1). The activity is regulated by the Ministry of Youth and Sports in conjunction with other relevant authorities, ensuring that all operations comply with national legislation and international standards.
The regulatory framework for sports betting was significantly strengthened with amendments to gambling regulations that entered into force on January 1, 2022. These amendments introduced comprehensive rules for sports betting operators, including licensing requirements, taxation policies, and consumer protection measures (1). Sports betting operators must obtain proper licenses and comply with all regulatory requirements, including anti-money laundering provisions and responsible gambling protocols.
"Winnings of up to AZN 500 received by individuals from sports betting games run by sports betting operators will be exempt from income tax."
The legal framework establishes clear penalties for violations, with substantial fines imposed on individuals and entities that operate without proper authorization or fail to comply with regulatory requirements (1). Licensed sports betting operators are subject to ongoing oversight by the Ministry of Youth and Sports, which ensures compliance with the Law on Physical Education and Sports (2). The government's approach demonstrates a commitment to maintaining a regulated and legitimate sports betting environment while protecting consumers and preventing illegal gambling activities.
Source:
https://www.mondaq.com/gaming/1151766/amendments-to-gambling-regulations
https://www.igamingtoday.com/gambling-regulation-in-azerbaijan/
Last updated: 15-09-2025 Disclaimer: This article does not provide legal advice. If you need legal advice, please contact an attorney directly.
