Greece Decides on Gross Profits Tax

The Greek government has opted to change its initially proposed online gambling turnover tax of 6% in a surprising move that marks a u-turn similar to the u-turn the Spanish government made on a similarly proposed gambling tax.

This week a 30% gross profits tax on all online gaming was put to the vote and accepted by the Greek government.

This move is a very welcomed change to the original proposal that was not favored by online gaming operators as it taxed all turnover money, not taking into account the overheads and other costs that are associated with running a successful online gaming operation.

The 30% gross profits tax that was agreed upon is far more reasonable from the standpoint of online gambling operators and it was agreed upon after discussions between the Remote Gambling Association and the Greek Finance Ministry.

The discussions involved a commissioned report from KPMG Athens regarding fiscal regime and detailed figures and arguments supporting Gross Profits Tax over the initially proposed Turnover Tax.

This government action follows the presentation of an initial draft bill to regulated licenses to online gambling operators. The Greeks, who make up the EU's sixth largest gambling market, are planning on issuing around 15 to 50 gambling licenses that will require to be renewed every five years.