Most gamblers in Germany consider that gambling laws need serious improvements. The same has been shown in recent research about the local gambling system. Regarding the results of the poll, Gambling Research Center (GRC) at the University of Hohenheim in Stuttgart, Forschungsstelle Glücksspiel, has disclosed a list of recommended changes which should be the initial step of upcoming improvements.
What is Updated
Gambling Research Center has just proposed several alterations of the gambling laws, including new tax arrangements on unlicensed operators, as well as the legalization of online casinos. However, online casino games authorization should count on harsh rules and prescriptions which operators should follow. The Gambling Centre has also considered an idea for the launch of a new regulatory body to supervise the entire sector.
According to the GRC report: “Land-based casinos generated gross gaming revenue of [$671.9 million in 2017, and paid [$353.13 million] in casino and sales taxes. The illegal online market, on the other hand, is estimated to have generated a total GGR of [$1.94 billion] that same year, but only paid value added tax of [$369.7 million]. Had they been subject to the same taxes as their land-based counterparts, these operators would have been liable for [$1.012 billion] in taxes.”
Present Situation
At the moment, Germany has a very lax Criminal Code which considers unlicensed land-based operations a criminal offense. However, the law doesn't have words about illegal online gambling which should be improved in the next period.
GRC further notices:
“Currently, the offer of online casino games on the Internet is largely illegal, but still takes place. It can be assumed that some states will continue to allow online casino games or will do so in the future. Also, for player protection reasons, a regulated market is preferable to a non-regulated market.”
The report is positively estimated except for its stance about poker and advertising. According to the report, poker should be completely banned game as “susceptible to fraud and manipulation,“ while each form of casino advertising should also be excluded.
After the constitution of the new regulatory body, it would be focused on “incorporated public institution that would have the authorization to implement ordinances, oversee activity and provide a mechanism for operators, lawmakers and suppliers to obtain legal certainty as soon as possible in disputes.”
As a reminder, Germany has just ratified the third amendment of the State Treaty and previous changes will become part of the same instrument. However, this solution will remain in force until June 2021 when the country will look for a long-term solution.
Source:
“Gambling reform in Germany could be coming soon“, Erik Gibbs, calvinayre.com, November 19, 2019.
