Netherlands’ Internet Gambling Regulation Draft Released
Dutch Internet gambling companies would pay out 20% of their gross profit in taxes under the terms of draft online gambling legislation released this week. The rules are a big step forward in the country’s move towards gambling liberalization efforts.
Companies wishing to get a taste of Dutch online casino and bookmaking action will have to pony up as much as €50,000 ($64,500 USD) for a license application. Once they’ve been approved, they’ll be good for five years but would only be taxed on gross profits.
The proposed rules include a couple operator-friendly clauses that should be happy news to online gambling sites, including the framework for tearing apart De Lotto, the Dutch Government’s sport betting monopoly. Industry analysts are suggesting that De Lotto will be privatized at some point.
Big operators might also benefit from the regulators’ hard line on black market online betting. To keep Dutch punters on approved sites, winnings from illegal online gambling will be taxed at a whopping 29%.
Holland is one of several European countries that have embraced internet gambling liberalization at the expense of a lucrative government bookmaking monopoly. Unlike Germany, the Netherlands seems to be making the transition with relatively little controversy or upheaval.
Discussions on the draft regulations are open until July 21.
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