Proposal may return in 2019
The government of Ireland has turned thumbs-down on a plan that would have hiked the betting duty from 1 percent to 2 percent. The Irish Examiner reported that the duty was examined as part of the 2017 Tax Strategy Group process, but the 2018 budget presented in October included no amendments to the betting duty rate.
According to the Irish Independent, the Finance Department considered three options for reform: an increase in the betting duty; a tax on individual punters; and a tax on gross profits.
Industry leaders warned that the second option could motivate punters to seek “alternative untaxed forms of betting or a move towards unlicensed operators” and result in the loss of businesses and jobs, with smaller businesses getting the brunt.
The third would require “significant additional work” before implementation, representatives said. A gross-profits tax was viewed as an “advantage to business as the level of tax payable will change in response to margins.”
As a result, Finance Minister Paschal Donohoe says he has “decided not to change this rate” in 2018, reconsider the rate next year.
