Italy moves towards GGR betting tax
Government set to enforce 'delegation law' to allow it to move away from existing turnover tax
The Italian Government will vote this week to enforce measures that are likely to lead to a move away from a turnover tax to a gross gaming revenue levy for remote sports betting.
At present the Government can only amend gaming taxes in “urgent” circumstances, but this limitation is set to be removed with the passing of a delegation law expected to open the door to a new sports betting levy.
The sports betting market in Italy has been in decline in recent years with spend down from 173m in 2010 to 135m in 2013, with many observers considering the current 2%-5% revenue tax a crucial factor.
A move to a levy based on gross gaming revenues in the region of 20% has been mooted as a potentially more effective regime and one which could help reduce the size of the country’s black market.
At a recent conference, DLA Piper gaming lawyer Giulio Coraggio made the case for such a tax to the Italian regulator and today he told eGaming Review the pre-emptive delegation law which would make a change possible should be passed this week.
“The law to be passed in the next days by the Parliament will empower the Government to set new rules for the gaming sector in the next 12 months,” Coraggio said.
But Coraggio added a change to the sports betting tax has yet to be agreed, with the Government still “negotiating” on a potential switch.
Last month, Italy hosted a meeting between representatives of six European regulators to discuss issues affecting the remote gaming market.
Members from the regulatory bodies of France, Germany, Portugal, Spain and the UK joined Italian regulator AAMS in Rome to confer on topics such as the fight against unlicensed gambling, the role of game suppliers and legal issues linked to the exchange of personal data.