Netherlands Sets Online Tax at 20 Percent

The Dutch government plans to tax online gaming revenue at 20 percent once the market is opened to competition as part of a sweeping series of reforms. Holland Casino, which is losing its land-based monopoly, is expected to join the web market.

The Netherlands Council of Minsters has approved a 20 percent on online gaming revenues as part of a planned liberalization of the country’s internet and land-based markets.

The measure also stipulates that 2 percent of gaming revenues be dedicated to problem gambling prevention and treatment.

Even with the addition, the new tax will be considerably less than the 29 percent tax paid by the government-sponsored land-based monopoly Holland Casino, which will be broken up and some properties offered for bid to commercial operators as part of the proposed reforms.

Holland Casino is also expected to be one of the online operators and has a contract with Playtech to supply software and supporting infrastructure.