Playtech has agreed to pay a total of €28 million under a tax settlement with Israeli tax authorities after an inspection of the company’s accounts from 2008 to 2017.
The company will pay the amount over 30 days, which will be included as an exceptional item in its 2018 accounts according to CDCGaming Reports.
The company said Israel has not imposed any further penalties, which originated over transfer pricing adjustments made by Playtech in Israel. The transfers were made between different parts of the company, the report said.
The agreement was reached on December 31st and appears to have come as a result of a simple routine accounts inspection.
The penalty comes as Playtech is facing pressure in several markets. Despite that, Playtech said in November it expected to meet its full-year earnings guidance and posted a projection for the adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) in 2018, saying that the figures would be in the range from €320 million to €360 million.
The company, however, said it expects sales in Asia to decline by about 50 percent. Playtech has also acquired Italian betting company Snaitech, but now faces increased gambling taxes in Italy.
