Key Takeaways
- New EU rules for calculating Value Added Tax (VAT) will mean that online poker revenues in France will be subject to extra taxes from January 1, 2015. bwin.party’s third quarter report estimated that the cost to the company would be €500k.
- The EU VAT Directive has been updated so that in 2015, telecommunications, broadcasting and e-services to non-business customers through online sales must now be subject to VAT—in France the rate is 19.8%.
New EU rules for calculating Value Added Tax (VAT) will mean that online poker revenues in France will be subject to extra taxes from January 1, 2015. bwin.party’s third quarter report estimated that the cost to the company would be €500k.
Up to now, online poker revenues have not been compulsorily subject to VAT across the EU. Nations have been able to make their own determination—in France no VAT has been levied on online poker revenues.
The EU VAT Directive has been updated so that in 2015, telecommunications, broadcasting and e-services to non-business customers through online sales must now be subject to VAT—in France the rate is 19.8%.
