Regulation round-up 15 December 2015
The biggest regulatory news from the egaming industry in the last seven days (9 December to 15 December 2015)
New 22% GGR tax for Italian sportsbooks
Amendment to Stability Law sees introduction of revenue-based levy but at a slightly higher rate than expected
Italy-facing sportsbooks will be taxed on a gross gaming revenues (GGR) basis from the beginning of next year, albeit at a slightly higher than anticipated rate of 22%.
The switch comes after Italy’s Budget Committee passed a number of amendments to the Stability Law, a bill which is expected to be passed by the country’s Chamber of Deputies later this week.
If the bill is given the green light, from 1 January 2016 sportsbooks will no longer be taxed on a burdensome turnover basis and instead be levied at 22% of revenues.
Italy had been expected to implement a flat 20% revenue tax across all online betting and gaming verticals. Poker and bingo will be moved in line with casino at 20% although the change to bingo won’t be implemented until 1 January 2017.
Brazil gives first approval to new gambling bill
Brazil’s Special Commission on National Development has given the green light to a bill which once again puts the regulation of online gambling on the agenda, just months after a presidential veto appeared to end any hope of legislation.
The Senate committee last week gave its initial approval to a bill, authored by Senator Ciro Nogueira, by eight votes to two with one abstention.
The bill must still pass a full vote in the Senate and also gain the approval of Brazil’s lower house and president before passing into law.
Seven days in regulation:
Legal claim “spurious”, says GVC chief
GVC Holdings chief executive Kenny Alexander has rubbished claims the operator reneged on a contract to form a Canada-facing joint-venture, describing the allegations as “spurious” and “without substance”.
Speaking to eGaming Review, Alexander said the firm would “robustly defend” itself against allegations it had broken the terms of an agreement with Canadian marketing company 37Entertainment (37E).
On Friday 37E revealed it had filed a request for arbitration with the International Chamber of Commerce (ICC) in London after the Quebec Superior Court enforced the arbitration agreement and granted a motion to refer its claims to the ICC.
Tatts chief blasts British rivals
Tatts Group CEO Robbie Cooke has slammed UK-based operators for using the ongoing federal review into offshore wagering as a means to legalise online in-play wagering.
In an interview with Melbourne-based newspaper The Age, Cooke said attempts to remove the in-play betting restriction had originated from Tatts foreign rivals and were motivated by money.
Cooke also said there was “no evidence” to support claims the live betting prohibition, which is contained in the Interactive Gambling Act (IGA) 2001, would see AU$2.2bn wagered on live betting markets with unlicensed operators by 2020.
FanDuel and DraftKings resume operations in New York
Daily fantasy sports (DFS) operators FanDuel and DraftKings have resumed operations in New York after an appeals court overturned an earlier ruling granting an injunction and blocking both sites from offering contests to players in the state.
On Friday morning, Judge Manuel Mendez granted a temporary restraining order requested by Attorney General Eric Schneiderman after his investigation into DFS found the activity met the definition of ‘illegal gambling’ under state law.
Both firms challenged the ruling and by Friday afternoon an appeals court had overturned the decision with FanDuel and DraftKings confirming they were back live in the state by the end of the day.