Denmark Taking Time to Settle Online Gambling Questions

Published Saturday, December 04, 2010 - Online-Casinos.com

According to a number of information sources Denmark will further delay the opening up of it’s online gambling industry to the world. The state monopoly on internet gambling in Denmark began to crumble after agreeing under pressure from the European Commission to liberalize the system.

 
Companies looking to enter the Danish gambling market were put off by the delays and uncertainty surrounding the start dates. Applicants for a gaming license in Denmark had to cease all activity in the market for a six month period prior to activation which was originally estimated to take place in January 2011. The cooling off time line was been seen as an attempt to give state monopoly Danske Spil, a certain cushion to give it an advantage position over the competition.

 
The Danish Gambling Board confirmed recently that the opening up of the country’s online gambling market will not take place until the summer of 2011 because a complaint was lodged with the European Commission concerning the proposed tax rates.
The original intent in Denmark was to have the market open by 1 January 2011. The law is proposing a flat rate of 20 percent on the gross win on all products offered.  There is also annual license fee of  between €7,000 to €200,000, based on the level of gross win. The statutory standstill period for the European Commission to review the draft law ended on 11 October, during which time the complaint over tax rates was filed.
The Danish minister of taxation Troels Lund Poulsen said he would go to the European Commission’s headquarters in Brussels as soon as possible to resolve the pending tax problem. The minister stated that he thinks that the Danish draft legislation, including tax rates, were in accordance with EU law.
Meanwhile there is no shortage of online gambling operators who want in on the Danish gaming market. It looks like they will have to be patient and wait until the dust settles. 

 

 

 

 

 

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