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IRISH ONLINE GAMBLING TAX LAW WILL BE PUBLISHED EARLY 2012

December 7, 2011 :  Minister of finance Michael Noonan is planning the extension of betting duty of 1 percent to remote betting, along with a 15 percent tax on the gross profits earned by betting exchanges from commissions.
 
Irish Finance Minister Michael Noonan says his plans to impose taxes on remote gaming companies, hopefully raising an additional Euro 10 million next year and around Euro 20 million annually from 2013, should be finalised in time for publication early in the New Year.
 
A Department of Finance spokesperson told the Irish Examiner that the move would cover online and phone betting and anyone wishing to offer such services will have to apply for a licence, to which a range of conditions would apply, including a requirement that the company would be liable for the payment of the new taxes.
 
However, the spokesperson was unable to clarify if it would be open to companies to pass on the cost to punters in addition to their betting stake, and the plan also raises issues about the government's ability to enforce compliance by betting companies operating outside of Ireland.
 
Somewhat hopefully, the spokesman opined that, as most companies that offer online betting in Ireland are significant operations, they will be compliant with the requirement to hold a licence.
 
Betting exchange services that facilitate players betting against each other will also be liable for a betting intermediaries’ duty. It is proposed that they will pay 15 percent tax on the gross profits they generate from commissions.



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