The head of the Isle of Man’s online gambling regulatory body has voiced his opinion on the UK’s point of consumption tax for online gambling, saying it will have little impact on businesses based on the Isle.
Peter Greenhill said that most of the players using companies based in the Isle of Man are from outside of the UK, meaning that there will be little impact on the operators present.
Greenhill went on to discuss the relationships his group has forged with the UK as well as noting the key advantages firms operating within the Isle have when it comes to online gaming. One of those advantages is that bets don’t have to take place on UK based servers, meaning that the Isle’s businesses can retain their current structure.
“The legislation also requires offshore licence holders to either appoint a UK based Financial Representative who, at great expense, will take responsibility and personal liability to pay UK Her Majesty’s Revenue and Customs the taxes owed, or may negotiate to pay 6 months duty in advance,” Greenhill said. “The positive news as far as the Isle of Man is concerned is that we have negotiated an arrangement with the UK tax authorities that UK facing operators licensed with us do not need to take on this vast expense. This represents a major saving over other jurisdictions.”