Poker News
Tuesday, June 15, 2021
open/closeFeatured Authors

EGBA submits EU state aid complaint over German online poker tax
 

(PRESS RELEASE) -- The European Gaming and Betting Association has submitted a formal state aid complaint to the European Commission in response to the German Bundesrat’s proposal to set a 5.3% tax on online poker and slots stakes in the country. EGBA believes the proposed tax breaches EU state aid rules because it would apply only to online operators and lead to online poker and slots stakes in Germany being taxed at rates 4 to 5 times higher than land-based gambling establishments.

The EGBA, representing Europe’s leading online betting companies, has previously warned that the proposed online tax would result in a substantial and unfair tax advantage to Germany’s land-based gambling establishments. In Bavaria for example, the tax measure would lead to online poker and slots stakes being taxed at rates 4-5 times higher than their equivalent in land-based casinos and rates 15 times higher than slots offered in land-based amusement arcades, resulting in a tax advantage of €290 million each year for the state’s land-based operators. EGBA believes that this constitutes an illegal state aid under EU law and estimates that the extent of the illegal aid for land-based gambling establishments in Germany would be €741 million each year should the tax measure be approved.

“We have previously made our concerns about the tax proposal known to the German authorities but to no avail and they will now need to justify the measure under EU law. We appreciate the efforts made in recent years towards introducing a new online gambling regulation in the country and recognise that an appropriate tax will need to be paid by online gambling operators. However, the rate of the proposed tax is punitively high and will distort market competition and directly benefit Germany’s land-based gambling establishments over their online counterparts. We call on German politicians to rethink the proposed tax rate and bring it closer in line with the tax rate applied to online casino products in other EU countries.” – Maarten Haijer, Secretary General, EGBA.

Back to News

open/closeExpert Poker Strategy

open/closeTop Poker Columns

PokerZone is owned by Casino City, an independent directory and information service not affiliated with any casino. Warning: You must ensure you meet all age and other regulatory requirements before entering a casino or placing a wager. There are hundreds of jurisdictions in the world with Internet access and hundreds of different games and gambling opportunities available on the Internet. Do not assume that Internet gaming sites are in compliance with the rules and regulations of every jurisdiction from which they accept players. YOU are responsible for determining if it is legal for YOU to play any particular game or place any particular wager under the laws of the jurisdiction where you are located.