The Irish Gambling Tax

UK Online Gambling LawsIt seems that the politicians in Ireland are up in arms for their quest to get a bill passed prior to the rest of the parliament in the summer. This bill would implement a 1% tax on the yearly turnover of online gambling operators who offer their services to the residents of Ireland and an even higher tax on wagering exchanges. There have been studies that indicate that through the initial implementation of such tax that 77% of the online gambling operators will pay this tax, which is estimated to amount up to 50 million Euros.

The well reputed companies and the licensed establishments will be the ones who will get targeted for such tax first. For example, gambling operators such as Ladbrokes, Boyle Sports and William Hill will be one of the first companies to pay this new tax. As for the betting exchange companies such as Betfair and Betdaq, they will face a 15% tax on their gross revenue.

The analysts and experts have run many scenarios and carried out studies, these researches resulted in estimation. This estimation states that this 1 % tax on the yearly turnover will decrease the yearly revenue of companies like Paddy Power by 6 or 7 million Euros. As for the 15% taxes on gross profit of wagering exchanges like Betfair, it would decrease the profit with an estimated 1.5 million GBD per year.

May 21, 2012 by : posted in Gambling UK No Comments