The Netherlands: government parties proposes uniform tax rate for online and land based gaming

By Richard van Schaik and Róbin de Wit

Today, it was announced that the coalition parties VVD and PvdA have jointly submitted a proposal to bring the tax rate applicable to future remote gaming to the same level as the rate applicable to land based gaming (29%). If the total tax revenues increase as a result of the growing market size of online gaming, it is expected that the tax rate will be reduced to a uniform 25% rate within a three-year timeframe. This proposal is contrary to the initial plan of the government to implement a differentiated tax regime, whereby a 20% rate would be applicable to remote gaming.

This news is striking now that only a couple of weeks ago, the Dutch State Secretary for Security and Justice confirmed the proposed differentiated tax regime in his answers to the second round of parliamentary questions regarding the upcoming Dutch Remote Gaming Act. So far, this differentiated regime has received much resistance. See our earlier blogs in this respect here and here.