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Danish Government to Raise Online Gambling Tax

by Glenn Baird - December 3, 2019

The Danish government has revealed in its 2020 budget that the rate of tax in the country for igaming will rise by a staggering 8%.

It was announced today that the current 20% tax rate for online gambling firms would increase to 28% as of 2021. This is the first increase in tax revenue for the industry since 2012 when the rate of 20% was established.

Despite this apparent hike in tax rates there is still some way to go before the online industry in Denmark faces the 40% rate of tax that land-based casinos need to fork out, a rate that increases when to an additional 30% on profits made above DKK4 million.

The government in Denmark has stated that the increased tax rates are part of an initiative to fund support for problem gamblers and to improve regulation standards within the market.

The expected increase in funds for the government has been estimated at DDK20 million.

Whilst considered a strict regulator and often cited as an example for other regulators there has been a decline in revenue in the third quarter of the year, to DKK1.61bn.

The United Kingdom of Great Britain and Northern Ireland sits to the north-west of mainland Europe. The United Kingdom shares a border with The Republic of Ireland and has coasts on the Atlantic Ocean, Celtic Sea, North Sea, Irish Sea and English Channel. The population of the UK is approaching the 67.6 million mark leading to a fairly densely populated land mass. The gambling sector in the United Kingdom is entirely regulated and licensed by the UKGC – the United Kingdom Gambling Commission. Should players resident In the UK wish to gamble with foreign based operators there is no history of this being treated as a criminal offence, but high levels of protection exist for UK residents playing with UK licensed operators.

Disclaimer:

The above information is what we believe to be the the legal status of online gambling, however information on this topic is limited and hard to find. We accept no liability for any errors or ommissions. It is the reader’s responsibility to ensure that they know the legality of online gambling in their country before engaging with any online gambling service.