Cross-Border Reporting Automation in Gambling

What is Cross-Border Reporting Automation

This is a system that helps digital casinos and betting platforms mechanically collect and transmit payment and fiscal data to different countries.

The program handles all routine tasks related to:

• legal work of an entrepreneur in selected jurisdictions;
• timely deduction of taxes;
• compliance with local laws.

The described technology emerged in the banking sector after the financial crisis of 2008. At that time, the global economy faced a need for greater transparency and security. To control the flow of funds and prevent tax evasion, various regions started to implement accounting standards.

For example, in the US, the FATCA law was introduced, and in Europe, the CRS (Common Reporting Standard) system appeared. These rules required banks and fintech organisations to automatically exchange customer and transaction information between countries.

Over time, such mechanisms began to be used in other sectors, primarily those involving international operations. These include e-commerce, insurance, the export and import of services, tourism, as well as the gambling industry.

Why Automation is Important for the Entertainment Niche

Online casinos and bookmakers work in several countries, accept bets from players all over the world, and are licensed in multiple jurisdictions.

For example, an entrepreneur might be registered in Curacao, obtain a permit in Malta, but interact with clients from Europe, Asia, or Latin America.

Each of these territories has its unique tax rules and requirements. If a project owner wants to operate legally and avoid fines, he must take all these factors into account.

How the Preparation of Reports Looked in the Past

Previously, it was slow and labour-intensive. Specialists manually collected data from various sources and systems, which took weeks and was followed by frequent mistakes.

Employees needed to:

• combine statistics from game servers, payment solutions, as well as reports on bonuses and deposits;
• use different document formats;
• consider the requirements of local jurisdictions.

Reporting could take from several days to weeks. Therefore, entrepreneurs hired accountants and consultants for each target market.

How Automation Improved the Work of Operators

Thanks to the concept, reports are created in just a few clicks. The system automatically collects information from all modules of an iGaming platform, verifies its accuracy, and sends the necessary details to the relevant authorities.

The process of preparing documents is as follows:

1. Data preparation. It includes the facts about bets, winnings, deposits, and withdrawals, recorded in real time.
2. Analysis of the jurisdiction. The program determines the player’s country of residence and the applicable tax rates.
3. Formation of reports. Documents are created automatically according to the standards of the selected gambling commission. These include the MGA, UKGC, Curaçao eGaming, and others.
4. Sending of papers. Data is transmitted to fiscal and regulatory authorities without human intervention.
5. Receipt of notifications. These contain information about whether the report has been accepted, confirmed, or requires clarification.

Why Technology Is So Important for Operators

Modern iGaming brands are not limited to just one country. They accept bids from users in different regions and offer various currencies, languages, and settlement methods. All these factors must be taken into account to avoid penalties.

Key benefits of Cross-Border Reporting include:

1. Compliance with international laws. The tool protects companies from fines, bans, and the loss of a licence. In some countries (for example, the EU and the UK), automated accounting is already mandatory, while in others (Latin America), its implementation is being actively discussed at the government level.
2. Reduced operating costs. The system eliminates any manual work, reduces errors, and speeds up the formation of documentation. Bookkeepers and lawyers can focus on strategic objectives and the long-term development of iGaming brands.
3. Business transparency. Regulators trust entrepreneurs who submit reports and pay taxes on time. This improves the reputation of digital platforms and helps renew certificates or obtain new ones.
4. Convenience for international operators. If a firm accepts players from 10–15 jurisdictions, the manual preparation of statements is virtually impossible. Automation allows for unified accounting while observing local laws.

Key Features of Cross-Border Reporting

Let us look at how the system works in practice.

Tax Accounting

Each country where online gambling is permitted has its own fiscal policy.

The technology performs the following functions:

1. Calculation of taxes and fees by jurisdiction. For example, in Malta, the GGR is 5%, while in the UK it is 15–21%. The system takes these differences into account and automatically applies the appropriate rate.
2. Tax return development. Instead of filling out tables and forms manually, entrepreneurs receive ready-made reports that comply with the requirements of each relevant service.
3. Submission of documents to regulators. The data migrates directly to the government and licensing authorities.

For example, if an online casino accepts bets from Germany, Italy, and Canada, the system will create 3 separate tax reports for each regulator, subject to local rules.

Financial Operations

Cross-Border Reporting ensures that all money transfers, deposits, withdrawals, and bonuses are recorded and displayed correctly.

The service performs the following tasks:

1. Records of game transactions. This includes every deposit, bet, and win with a complete history of settlements.
2. Funds control. The solution monitors the status of entertainment reserves: jackpots, bonus programs, and mandatory settlements. This is especially important for licensed operators, who are required to maintain financial guarantees on separate accounts.
3. Integration with banks and payment services. The tool synchronises with popular gateways (Visa, MasterCard, Skrill, Neteller, cryptocurrency processors) and automatically checks revenues against internal documentation.

Statements for Regulators

Cross-Border Reporting automates:

1. Data submission to gambling commissions. This includes information on the average amount of bids, frequency of winnings, and user activity.
2. Restriction tracking. The system ensures that players do not exceed established limits, such as the maximum bet or the daily deposit.

If a client or online casino violates the rules (for example, exceeds the wagering threshold), the program will notify the administrator and regulator.

AML/KYC Monitoring

AML (Anti-Money Laundering) and KYC (Know Your Customer) are international standards aimed at combating the concealment of the origins of illegally obtained money and terrorism financing. For the owners of iGaming startups, compliance with these regulations is a prerequisite for acquiring a licence.

The main tasks of Cross-Border Reporting are:

1. Verification of the players’ identity (KYC). The program checks documents, addresses, and sources of income through connected databases and authentication services.
2. Detection of suspicious transactions (AML). If a person makes abnormal transfers (large, frequent, or from multiple sources), the system immediately records them.
3. Reporting information to regulators. If violations are detected, information is immediately sent to the financial supervisory authority.

Common Analytics and Reporting

The service combines all data into a comprehensive dashboard. This allows entrepreneurs to see a complete picture of their business (from taxes to user activity) in real-time.

Key functions of the system include:

• comparison and analysis of the profit by region and jurisdiction;
• monitoring the effectiveness of bonus programs;
• verification of the correctness of payments and tax fees.

In Which Countries is Automation Used

The technology is an integral part of the international gambling business.

The tool is popular in countries with a licensed online casino vertical, where regulators require transparent and accurate accounting on levies, transactions, and customer behaviour.

Malta

The Malta Gaming Authority (MGA) was the first in the market to implement a mandatory digital financial reporting system.

Local operators are required to:

• provide monthly gross gaming revenue (GGR) statements;
• record and transmit data on all transactions made by players;
• confirm the movement of funds between internal accounts, prize pools, and bonus programs.

Cross-Border Reporting can be connected directly to the casino's internal modules. The solution will transmit information to the MGA via a secure API, eliminating manual input errors.

United Kingdom

The UK Gambling Commission (UKGC) is known as one of the most demanding regulators. It monitors not only taxes but also adherence to responsible gaming principles, user behaviour, and the transparency of loyalty programs.

Operators are required to submit data on:

• bets and deposits;
• winnings and incentives;
• limits set by players;
• suspicious transactions.

Cross-Border Reporting helps keep full accounts without human intervention and send all information in the format required by the UKGC.

Curacao

For a long time, the jurisdiction’s licence was considered one of the most flexible in the iGaming industry, but in 2024, the country shifted to a new regulatory model.

Entrepreneurs are required to:

• keep detailed records of the movement of funds between clients, providers, and internal funds;
• generate reports on taxes and retained fees;
• maintain compliance with AML/KYC.

The technology is seamlessly integrated into casino platforms, collects financial data, and generates detailed accounts for the local regulator. This facilitates annual audits and additional inspections.

Asia and Latin America

These markets are among the fastest-growing in the world. National licensing systems are rapidly developing here. Fiscal control and security standards for iGaming businesses are being actively introduced as well.

For example, the Philippines' gambling regulator (PAGCOR) requires operators to submit regular reports on the income and transfers. Peru and Colombia are working on financial transparency principles that will be similar to the European CRS requirements.

Brazilian authorities also plan to implement a system for instant document filing after the legalisation of the betting niche.

The Main Things about Cross-Border Reporting

It is a generally accepted standard for many owners of iGaming projects.

Key aspects that entrepreneurs should take into account:

• The system allows for the rapid formation of tax documentation and reports for regulators, monitoring financial transactions, and AML/KYC mechanisms. The use of manual labour and the probability of errors are minimised.
• The technology is used in Malta, the UK, Curacao, and other prestigious jurisdictions.

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