German Legislative Assembly Approved Tax For Online Casino In The Amount Of 5.3%
Bundestag voted for the approval of a bill on gambling tax, which accompanies the country’s new legal framework in the field of gambling business. German parliamentarians voted for the adoption of a document that establishes the amount of compulsory deductions to the state budget of 5.3% from the turnover of online slots and poker.
The bill that was created by the federal council, bundesratom, was approved by the finance committee two weeks ago. His provisions determine the tax rate for gambling online games in germany. He will begin his official work since july of the current year.
It would approve the bill, which many experts and operators of gambling business called a very controversial due to the tax of 5.3% for all online casinos working in local jurisdiction.
Thus, the european association of gambling and rates (egba) has previously made an appeal to the government of germany, which strongly recommended to refuse the draft law proposed by the bundesrath. According to analysts of the organization, the established tax contradicts the main goal of the development of the gambling market in germany – the elimination of the illegal industry and the conclusion from the "shadow" of all operators.
However, according to egba, such an impressive fiscal load will launch the reverse mechanism, as a result of which german users to avoid additional losses, will continue to pay for services of illegal casino.
According to the organization’s estimates, the tax of 5.3% will affect the competitiveness of the regulated market and will lead to the fact that 49% of the german players will become clients of the "shadow" branch of gambling entertainment.
However, a christian-democratic union (xds), the christian-social union of bavaria (css), the social democratic party (sdpg) and the "green party" voted for the bill.
"Alternative for germany" (adg) and free democratic party (cvdp) opposed the bill, while "left" abstained.
Recall, the expert called illegal casino to the main threat to legal gambling business of ukraine.