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Online gambling operators licensed on the Isle of Man to be granted double tax relief
Friday December 19,2014 : TAX RELIEF FOR ISLE OF MAN GAMBLING OPERATORS
Online operators licensed on the Isle of Man to be granted double tax relief.
The impact of the UK's new point-of-consumption tax regime will be mitigated for online gambling operators licensed on the Isle of Man, thanks to the island government's decision this week to allow such operators to claim Double Duty Relief.
The concession is up to a monetary maximum equivalent to the amount of gambling duty that would be due to the island’s Treasury on the same activity.
The changes, which came into effect on December 1, are in response to the recent introduction of point-of-consumption regulation in the UK.
Peter Greenhill, CEO for e-gaming development with the Isle of Man department of economic development, said Thursday:
“We recognise the burden that the new UK tax will place on our licensed operators and while we are not legally bound to offer this relief we have decided that this is the best approach.
“In addition, the Isle of Man’s positive relationship with the UK’s HM Revenue and Customs means that our operators will not have to appoint a fiscal representative in the UK, thereby saving them substantial costs.
“This decision provides reassurance to Isle of Man licence holders so that they can continue to run their operations from data centres on the Isle of Man and base their decision making capabilities here, as well so as to protect against any future claims under base erosion and profit shifting.”
The Isle of Man currently has 56 licensed operators and online gaming represents 13 percent of GDP.
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