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Portugal has submitted amendments to its online gaming legislation
Monday September 8,2014 : PORTUGAL SUBMITS ONLINE GAMING BILL TO EUROPEAN COMMISSION
15 percent GGR on games of chance, 8 percent online sportsbetting stakes
Portugal has submitted amendments to its online gaming legislation to the TRIS, European Commission for approval.
A 15 percent tax on GGR up to Euro 5 million will be levied regarding online games of chance, and 8 percent on online sportsbetting stakes up to Euro 30 million.
Amounts over and above these will be subject to a modified tax formula capped at 30 percent for games of chance and 16 percent on online sportsbetting.
Tax revenues will be allocated to the State (2.28 percent), the Ministry of Solidarity, Employment andSocial Security (34.52 percent), Presidency of the Council of Ministers (13.35 percent), Ministry of Health (16.44 percent), Ministry of Internal Affairs (3.76 percent) and the Ministry of Education and Science (1.49 percent).
In response to Portuguese operator Santa Casa da Misericórdia's (SCM) opposition to the opening up of the sportsbetting market, the Remote Gaming Association (RGA) said it "believes that a viable and competitive market in the future would benefit not just consumers and the government, but Santa Casa as well."
The RGA pointed out that incumbent monopoly operators have rather thrived under new licensing regimes in other European jurisdictions such as Denmark and that fears of cannibalisation of the operator's offline sports betting product are misplaced.
Clive Hawkswood, chief executive of the RGA said: "I completely understand why Santa Casa, which is such a highly respected institution in Portugal, would have concerns about a fundamental change in the betting market. However, we genuinely believe that its fears are not well - founded and that an online betting market with a reasonable tax regime based on gross profits would present it with a huge opportunity."
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