According to various reports, the Congress of Deputies said that the move would help to make the Spanish market more attractive to gambling companies. However, the proposal remains at an early stage and is some way from becoming law and will require further debate and discussion in parliament.
The Spanish government presented its 2018 budget to parliament after the cabinet of Prime Minister Mariano Rajoy, approved the budget last week, which includes increased pensions and payments for civil servants and families in a package designed to gain backing for the coalition government. It is the first budget since the global financial crisis in 2008 that does not include major austerity cutbacks.
In the section of the budget entitled “Tax on Gaming Activities”, the government states that the new tax will be applied to the vast majority of online games. The reduction will make the market more attractive to operators so that they may carry out their activities within the legal framework, and reduce illegal gambling.
In addition, “it will eliminate any tax discrimination between the different types of gambling in line with the criterion of non-discrimination between them that is supported by the European Commission.”
In February, Spanish national gaming regulator Dirección General de Ordenación del Juego (DGOJ) revealed further growth within the country’s internet gambling market for the final three months of 2017. Total revenue in the fourth quarter amounted to €173.3 million, up 38% on the corresponding period in 2016.
Source: GMB
