SEG 24 DE JUNHO DE 2019 - 20:47hs.
New laws for the sector

Swedish online market to be taxed at 18%

The Swedish government presented proposed legislation to the European Commission late last year with the EU authorities taking three months to review it which will be completed next March 20. Licenses will be valid for five years and the tax has been proposed at 18% of GGR.

Mark Knighton, Founder and CEO of Gothenburg-based business consultant Obsidian Consultancy, highlighted the key detaisl that have emerged. “Online gambling and land-based betting license will be valid for a five year period. Bonuses will only be allowed the first time the player uses an operator’s products,” he said.

“This is contrary to the proposal in the original report which also allowed retention bonuses but with restrictions. Payment providers could be ordered by a court to block payments from unlicensed gambling operators on the instruction of the Swedish Gambling Authority,” he added.

“The tax has been proposed at 18 per cent of GGR. It will be mandatory for players to set deposit limits. Licensees will have to take the measures necessary to prevent and reduce problem gambling. State-owned Svenska Spel will be divided into two separate companies but with a joint holding company. One of the companies will be able to compete with other online operators and one that will remain the sole operator of lotteries,” Knighton concluded.

Minister for Public Administration Ardalan Shekarabi said: “The central government will regain control of the Swedish gambling market. We are now proposing legislation entailing that operators receiving a licence to conduct activities targeting Swedish consumers must comply with Swedish rules. This will also give us the tools to keep those without a licence out. The new gambling regulations will be designed as a licence system, in which all operators providing gambling services in the Swedish market must have a licence. Operators without a licence will not be allowed to provide gambling services.”

It is proposed that the new regulations enter into force on 1 January 2019. Licence applications can be submitted from July 2018.

Source: GMB / G3 Newswire