Schleswig-Holstein passes law to offer five online table game licences
German state regulator updates current legislation while setting a tax rate of up to 44% on gross gaming revenue
Schleswig-Holstein’s legislature Landtag has passed a law that will provide for up to five online table game licences in the German state, while also setting a tax rate of up to 44% on gross gaming revenue.
The Landtag had last year approved plans to implement the Fourth State Treaty on gambling, which allowed online casino games to be offered throughout Germany for the first time, rather than only in the country’s northernmost state.
As part of the treaty, state governments were given the option of how they wished to regulate online casino games, either by creating a monopoly or issuing as many licences as they had land-based casinos.
With five land-based casinos currently located within the borders of Schleswig-Holstein, the state has opted for the latter approach, with the state-run Spielbank Schleswig-Holstein being confirmed as the first recipient. As of yet, the remaining four casino licences are available and have not been assigned.
Speaking on the state’s approach to regulating online table games, Hans Jörn-Arp, parliamentary secretary of the Christian Democratic Union (CDU), said: “It was important to us to prevent the creation of a new Las Vegas and instead to control exactly who is playing what and how the data and money flows.”
Jörn-Arp added the remaining licences would be issued “according to reputable and strict criteria”.
As part of the new law, fixed tax rates for online table games have also been set. Operators providing these games will now be taxed at 34% for revenue up to €300,000, 39% for revenue between €300,000 and €750,000 and 44% for anything higher than €750,000.
With a new federal authority to regulate gambling being established in Sachsen-Anhalt under the state treaty, Jörn-Arp emphasised the importance of all federal states throwing their support behind this body “before providers move abroad and our channelling plan would be jeopardised”.
As of yet, the new regulatory body has not approved any online gambling licences.