The government of Spain has proposed cutting taxes for some gaming operators from 25 percent to 20 percent. The Minister for the Treasury and Public Administration, Cristobal Montoro, announced the 20 percent cut as part of a larger budget proposal.
The object is to encourage even more participation into what has become a boom market in gaming in Spain. Another purpose is to encourage homegrown casinos as opposed to foreign operators.
The proposal, which was announced in Spain’s lower house, the Congress of Deputies, is in the initial stages, so an actual change in the law is some time off. To become law, it would have to be passed by parliament.
Most of the wagering in Spain’s growing market is sports betting, which, not by coincidence is where most of the cuts in taxes would be offered. Such betting accounts for about €100 million in revenue per quarter.
Analysts predict that the gross gaming revenue of €556 million will increase to €1.22 billion by 2023.
The budget just presented by the government of Prime Minister Mariano Rejoy is the first one since the global recession of 2008 without austerity cuts. According to the government, the proposal “will eliminate any tax discrimination between the different types of gambling in line with the criterion of non-discrimination between them that is supported by the European Commission.”
