Estonia's online gambling tax cut fails to lure new operators
Summary
Estonia's attempt to boost investment and tax revenue by cutting the online gambling tax from 6 to 4 percent has failed to attract the expected wave of new operators. According to Evelyn Liivamägi of the Ministry of Finance, only two license applications have been submitted, with processing ongoing, and one operator has withdrawn its application. A legislative error in January briefly exempted online casinos from the tax, generating €815,000 in January and €1.12 million in February, but a €220,000 shortfall was covered by a budget transfer. MP Tanel Tein, who initiated the reform, argues that the effects will take time to emerge, as licensing processes can take up to ten months. He also warned that Estonia must remain competitive, especially as Finland prepares to open its own regulated market next year, which could prompt existing operators to relocate northward.
(Source:Err)