Netherlands Will Increase The Gambling Tax

Last updated on December 27th, 2023

The latest news from the gambling world in the Netherlands reveals that the Dutch government intends to increase the gambling tax. And that is solely for online gambling providers. The main reason for the change of the taxes is the higher regulating costs which the Kansspelautoriteit(KSA) is reportedly facing. For that matter, the new fee will be 1.95%, as opposed to the previous fee which was 1.75%. Furthermore, aside from online gambling providers, there are several other departments that will be subject to the new gambling taxes. Specifically, slots, lotteries and land-based casinos are also part of the new legislation.

It is good to mention that 0.25% of the total tax charge will go straight to specific gambling harm prevention organizations.

Moreover, there will also be a change in the price of license fees for several departments. For example, lottery and casino operators will have new fees as well. With some even having a reduction in the license fee pricing. Consequently, for both the new fee will see the price change from €48.000, down to €28.000. Online casino providers, on the other hand, will still have to pay €48.000.

Netherlands’ official gambling regulator, the KSA, enjoys strong support from the Dutch government. For that matter, Dutch state officials said the following in an official press statement:

Since its introduction on 1 April 2012, the gambling levy has not been indexed for price inflation and wage cost developments. This has the consequence that the levy amounts and levy percentages are no longer sufficient to cover the costs of the KSA in the context of supervision and enforcement. The Gambling Act stipulates that the KSA receives finances by the sector. This, in addition to supervision and enforcement, also applies to the development and implementation costs of the KSA in connection with the entry into force of the KOA (Remote Gambling) Act.

Dutch Government Official Statement

Moreover, the Dutch government went on by saying:

These costs are higher than was foreseen when that law had yet to be passed. This is not a pleasant message in a period where many companies are already struggling due to covid-19 prevention measures.

Dutch Government Official Statement

Consequently, if we look at similar situations in countries such as the UK and Germany, this should come as no surprise. Especially since more and more European countries are considering taking the same action. Or, to increase the current taxes and fees. Yet, it seems like this does little to deter providers from applying for the lucrative Dutch license. In particular, there are currently 35 license applications waiting for KSA approval. Thus, it seems like everything is ready for the official start of the awaited Dutch gaming market, set for the 1st of October 2021. Despite the Dutch increase in the gambling tax.