On April 3, 2018 the General State Budget for 2018 Bill was submitted to the Spanish Parliament. This Bill introduces some relevant changes for the gaming tax contemplated in article 48 of Gaming Law 13/2011.
To get a clear picture, we want to share (i) a table with the current tax rates and bases and (ii) another table with the rates ant bases established by the Bill.
|(i) CURRENT ONLINE GAMING TAX||BASE OVER STAKES (AMOUNTS WAGERED)||BASE OVER WIN||BASE OVER FEE (COMMISSION)|
|HORSE RACE POOL BETTING||15||_||_|
|SPORT RACE POOL BETTING||22||_||_|
|SPORTS EXCHANGE BETTING||_||_||25|
|OTHER EXCHANGE BETTING||_||_||25|
|HORSE RACE FIXED ODDS BETTING||_||25||_|
|SPORTS FIXED ODDS BETTING||_||25||_|
|OTHER FIXED ODDS BETTING||_||25||_|
|OTHER GAMES (BINGO, BLACK JACK, ROULETTE, ETC)||_||25||_|
|(ii) ONLINE GAMING TAX IN BILL||BASE OVER STAKES (AMOUNTS WAGERED)||BASE OVER WIN||BASE OVER FEE (COMMISSION)|
|HORSE RACE POOL BETTING||_20||_|
|SPORT POOL BETTING||_20||_|
|SPORTS EXCHANGE BETTING||_||_20|
|OTHER EXCHANGE BETTING||_||_20|
|HORSE RACE FIXED ODDS BETTING||_||20||_|
|SPORTS FIXED ODDS BETTING||_||20||_|
|OTHER FIXED ODDS BETTING||_||20||_|
|OTHER GAMES (BINGO, BLACK JACK, ROULETTE, ETC)||_||20||_|
|STATE SPORT POOL BETTING (quinielas) (not changed but separated from the private sport pool betting).
Additionally, several important issues must be taken into account:
The main beneficiaries are the “TVs” (Contests, that is, Call TV programs and similar). Online operators, in general, also profit from these amendments, although in less degree.
The tax benefits for Ceuta and Melilla are confirmed, for companies that are tax residents and “really settled” there where the rates have not been reduced to 20% but to 10% on GGR. It is also confirmed that regarding land-based gaming there have also been reductions: slot machines will pay 50% with respect to the current one, the casino 10% in the first section (before 20%); and the bingos 10% on the GGR (the bets were already paying 10% over Win).
The entry into force of all variations of the online IAJ would be on July 1, 2018.
We must be cautious with this information since we are before a Bill that must undergo its due approval process which is currently a slight challenge do to the Spanish political scene.