Polish operators request tax break as coronavirus hits hard

Polish operators including STS have written to the country’s government to request tax breaks as the coronavirus pandemic hits the betting industry hard.

Poland’s Bookmakers Companies Association has asked legislators to reduce the tax on gambling and lottery from 12% to 10% for the duration of the pandemic – and at least until August 2020.

The body has also appealed to delay the payment due date on gambling and lottery taxes until September.

The demands were made due to “the problematic situation of the industry”, including significant fiscal burdens, the threat of unemployment and the bankruptcy of many businesses.

Since 14 March, the vast majority of sports betting businesses in Poland have suspended operations, especially in retail, to protect the health of their employees and customers.

There are approximately 5,000 jobs in retail betting across 1,500 bricks-and-mortar outlets in Poland.

According to the Bookmakers Companies Association, the amount of bets staked has fallen 60% since March, and that figure looks likely to increase as the sporting calendar remains closed.

“Most entities are currently not generating a profit and have no way of making up for their losses,” said a spokesperson.

“This makes it essential to reduce fixed costs – including, for instance, collective redundancies – and the high risk of bankruptcy of a large number of those entities.”

The body claims approximately £160m is paid to the state treasury from the taxation of Poland’s licensed gambling sector each year.