New EU Investigation into Casino Taxation

The massive difference between the taxation of walk-in casinos and online casinos is to be investigated in Denmark. 

The European Union has received complaints from Danish casinos about the unfair pressure that they are being put under by the country’s government. The latest legislation will see properly registered online casino and gaming sites paying a 20% tax against profits. This has caused uproar with the hard-pressed land based casinos, who are forced under Danish law to pay a 75% tax levied against them. 

Gambling operations in Denmark were until recently completely run by the government. Developments have seen the sector divided into three and opened up to competition as the government releases it’s monopoly on the industry; however, the casino and slot machine sectors feel they are still being treated unfairly when compared with online gambling organisations. 

The casinos feel that the large difference between the two forms of gambling gives online operations an unfair advantage. This is the opposite of many other EU countries, who levy higher rates on Internet based gamblers. The Danish government’s position has caused many to question the motives behind the move. 

Online casinos will now have to wait for further news as the government carries out further investigations into gambling regulations. The original state date for deregulation was to be the 1st January, but this will now be later in the year. Many Internet companies are eagerly waiting the decision, as this is seen by many to be a growth market over 2011.