Betting letter to YPOIK: The new tax for players is not applicable - What needs to change
Clarifications regarding the new way of taxing the player, "per ticket", are requested by the Hellenic Association of Online Gaming Companies. Proposals to improve the layout and the necessary extension until July.
The serious problems of implementation of the provision for the change of the calculation of the player's tax from March 1, 2021, points out in a letter to the Ministry of Finance the Association of Online Gaming Companies of Greece.
According to the provision passed at the end of 2020, from 1 March, winnings on column gambling are subject to a 2,5% tax per game card for amounts from 101,01 to 200 euros, 5% (200,01, 500 to 7,5 euros) and 500% (over XNUMX euros).
The serious problem is that with the change in the legal framework, the way of taxation of profits per column has been replaced by the taxation of a card, but without clearly defining what "ticket" means.
The 6 bookmakers (Stoiximan / Kaizen Gaming, bet365, GVC, Logflex Ltd, Winmasters, Interwetten), who sign the letter, ask for clarifications on the definition of the term "ticket", noting that it is absolutely necessary to make the necessary technical changes and adjustments. of their information systems, since in Internet Betting, the slip corresponds to "every single betting prediction of the player, the result of which is not related to another betting prediction of the player".
They also suggest:
To be defined as a ticket: each unique betting prediction of the player whose outcome is not related to or linked to the outcome of another betting prediction of the player.
As a gaming conference to be defined: the time period of twenty-four hours (which starts permanently and always at seven in the morning Greek time exactly (07:00:00) and ends automatically at 06: 59-59 the next calendar day.
To define gross profit, suggest clarification that participation in games that does not come from player deposit money but from loyalty offers is not included in the GGR as wagers.
Until the absolutely necessary clarifications are made, they request the application of the new tax to start on July 1, 2021, since according to par. 2 of article 60 of 4622/2019 "any regulation that burdens in any way the business activity enters into force either on on the first of January or on the first of July of each year ".
The whole letter
To:
1) Mr. Christos Staikoura
Minister of Finance
2) Mr. George Gerapetritis
Minister of State
3) Mr. Apostolos Vesyropoulos
Deputy Minister of Finance
4) Mr. George Pitsili,
Commander of A.A.D.E.
Notified to:
Mr. Dimitrios Dzanatos, President of E.E.E.P.
Subject: Taxation of gamblers.
RELATED: Our letter from 20/12/2020
Honorable Ministers,
Following our letter dated 20/12/2020 above, and following the publication and entry into force of the provisions of article 79 of law 4764/2020 (Government Gazette 256 A / 23.12.2020) under which the tax scale was modified of the winners of the games of chance held in columns, we would like to point out that, for the technical adaptation and necessary configuration of our systems, but also for the uniform and correct application of the article, this provision needs relevant modifications / clarifications in order to to have the required definition of concepts such as: ticket, gaming session and gross profit (GGR) of the game.
specifically:
(a) Meaning of "Bulletin":
Article 79 of Law 4764/2020 (Government Gazette 256 A / 23.12.2020), replaced, among others, the first paragraph of par. 2 of Article 60 of Law 2961/2001 (A '266) as follows: " The winnings defined in cases b ', c' and d 'of par. 1 of article 58, in the games of chance conducted with columns, are subject to tax per card according to the following scale… »
The above provision replaced the method of taxation of winnings per gambling card instead of per gambling column (as was the case until recently), but without defining the meaning of "ticket". The definition of the term "ticket" is absolutely necessary and necessary in order to make the necessary technical changes and adaptations of our information systems, since in Internet Betting, the card corresponds to "every single betting prediction of the player, the result of which is not is linked to another betting prediction of the player ".
However, in Internet Betting, the player has the option to bet on systems, and a combination of bets which are different "cards", as they allow the player to bet on a number of (rather than individual) betting predictions, the result of which are not interconnected. For reasons of completeness, we note that, given the nature of the provision and for reasons of avoiding any different interpretation, it is considered appropriate to introduce the concept of a ticket in par. 2 of article 60 of Law 2961/2021.
In the absence of the required definition of the above relevant concept and to avoid impending confusion from the existing legal framework, we propose the introduction of an additional paragraph in paragraph 2 of article 60 of Law 2961/2011 (A '266) which will define the meaning of "bulletin" as follows:
"Ticket is defined as each unique betting prediction of the player whose result is not related or linked to the outcome of another betting prediction of the player.
(b) "Play Session" concept:
As we have already pointed out in our above letter, it is proposed to change the way taxation of gambling winnings conducted with a gaming session is provided as the current definition provides for the taxation of winnings from the time the player is connected to the Central Information System ( CSF) until its disconnection from the CSF. This definition is variable and may lead to complications in the calculation of the relevant tax, such as:
1. A player may, whenever he shows winnings up to the amount not taxed, terminate the profitable gaming session and create a new gaming session so that his taxable profit is zeroed and starts from the beginning with a new tax-free limit.
Respectively, a player who participates in two or more sessions in a row in the same time period and in one of them wins by exceeding the tax-free amount and consequently is taxed while losing in the next session, will not be able to offset the amount of the loss with his amount. profit.
Therefore, as is obvious, the possibility of different and unequal taxation of two Players for the same pre-tax winnings is inadvertently promoted from the provisions.
It is therefore necessary, in terms of taxing the winnings of games held with a gaming session, that the session be scheduled on a 24-hour basis.
For these reasons, we propose the amendment of the definition of the gaming session of par. 2 of article 60 of law 2961/2011 as follows:
"The Play Session is defined as the time period of twenty-four hours (which starts permanently and always at seven in the morning Greek time exactly (07:00:00) and ends automatically at 06: 59-59 the next calendar day.
(c) Gross Gaming Definition (GGR)
As the gambling providers make loyalty offers (eg bonus, Free bets, etc.) which are financially borne by the provider and do not constitute any cash inflows from the player but an exit for the provider, it is absolutely advisable to clarify - for security reasons law - that participation in games that does not come from money deposited by the player but from loyalty offers is not counted in the GGR as wagers.
This is also fully compatible with the law (article 25, paragraph l of law 4002/2011), the relevant economic study of the European Commission (https://ec.europa.eu/growth/content/study-gambling-services-internal-market-european-union-0_en) and the relevant specifications of the Corporate Finance Institute (https://corporatefinanceinstitute.com/resources/knowledge/finance/gross-gaming-revenue-ggr/ )
Furthermore, regarding the entry into force of article 79 of law 4764/2020 which is provided for March 1, 2021, we would like to point out that this provision is in contradiction with par. 2 of article 60 of 4622 / 2019 (Government Gazette A '133) which provides the following:
"Any regulation which in any way burdens the business activity enters into force either on the first of January or on the first of July of each year".
Therefore, and since the change in the way of taxing the winners' profits burdens our business since we will have to make drastic technical adaptations of our information systems, we consider it necessary that the entry into force of this provision be set on 01/07 and from there. We remain at your disposal.
Sincerely,
The Established Association of Online Gaming Companies of Greece
Stoiximan / Kaizen Gaming
Bet365
GVC
Logflex Ltd
Winmasters
Interwetten
SOURCE news247.gr
Clarifications regarding the new way of taxing the player, "per ticket", are requested by the Hellenic Association of Online Gaming Companies. Proposals to improve the layout and the necessary extension until July.
The serious problems of implementation of the provision for the change of the calculation of the player's tax from March 1, 2021, points out in a letter to the Ministry of Finance the Association of Online Gaming Companies of Greece.
According to the provision passed at the end of 2020, from 1 March, winnings on column gambling are subject to a 2,5% tax per game card for amounts from 101,01 to 200 euros, 5% (200,01, 500 to 7,5 euros) and 500% (over XNUMX euros).
The serious problem is that with the change in the legal framework, the way of taxation of profits per column has been replaced by the taxation of a card, but without clearly defining what "ticket" means.
The 6 bookmakers (Stoiximan / Kaizen Gaming, bet365, GVC, Logflex Ltd, Winmasters, Interwetten), who sign the letter, ask for clarifications on the definition of the term "ticket", noting that it is absolutely necessary to make the necessary technical changes and adjustments. of their information systems, since in Internet Betting, the slip corresponds to "every single betting prediction of the player, the result of which is not related to another betting prediction of the player".
They also suggest:
To be defined as a ticket: each unique betting prediction of the player whose outcome is not related to or linked to the outcome of another betting prediction of the player.
As a gaming conference to be defined: the time period of twenty-four hours (which starts permanently and always at seven in the morning Greek time exactly (07:00:00) and ends automatically at 06: 59-59 the next calendar day.
To define gross profit, suggest clarification that participation in games that does not come from player deposit money but from loyalty offers is not included in the GGR as wagers.
Until the absolutely necessary clarifications are made, they request the application of the new tax to start on July 1, 2021, since according to par. 2 of article 60 of 4622/2019 "any regulation that burdens in any way the business activity enters into force either on on the first of January or on the first of July of each year ".
The whole letter
To:
1) Mr. Christos Staikoura
Minister of Finance
2) Mr. George Gerapetritis
Minister of State
3) Mr. Apostolos Vesyropoulos
Deputy Minister of Finance
4) Mr. George Pitsili,
Commander of A.A.D.E.
Notified to:
Mr. Dimitrios Dzanatos, President of E.E.E.P.
Subject: Taxation of gamblers.
RELATED: Our letter from 20/12/2020
Honorable Ministers,
Following our letter dated 20/12/2020 above, and following the publication and entry into force of the provisions of article 79 of law 4764/2020 (Government Gazette 256 A / 23.12.2020) under which the tax scale was modified of the winners of the games of chance held in columns, we would like to point out that, for the technical adaptation and necessary configuration of our systems, but also for the uniform and correct application of the article, this provision needs relevant modifications / clarifications in order to to have the required definition of concepts such as: ticket, gaming session and gross profit (GGR) of the game.
specifically:
(a) Meaning of "Bulletin":
Article 79 of Law 4764/2020 (Government Gazette 256 A / 23.12.2020), replaced, among others, the first paragraph of par. 2 of Article 60 of Law 2961/2001 (A '266) as follows: " The winnings defined in cases b ', c' and d 'of par. 1 of article 58, in the games of chance conducted with columns, are subject to tax per card according to the following scale… »
The above provision replaced the method of taxation of winnings per gambling card instead of per gambling column (as was the case until recently), but without defining the meaning of "ticket". The definition of the term "ticket" is absolutely necessary and necessary in order to make the necessary technical changes and adaptations of our information systems, since in Internet Betting, the card corresponds to "every single betting prediction of the player, the result of which is not is linked to another betting prediction of the player ".
However, in Internet Betting, the player has the option to bet on systems, and a combination of bets which are different "cards", as they allow the player to bet on a number of (rather than individual) betting predictions, the result of which are not interconnected. For reasons of completeness, we note that, given the nature of the provision and for reasons of avoiding any different interpretation, it is considered appropriate to introduce the concept of a ticket in par. 2 of article 60 of Law 2961/2021.
In the absence of the required definition of the above relevant concept and to avoid impending confusion from the existing legal framework, we propose the introduction of an additional paragraph in paragraph 2 of article 60 of Law 2961/2011 (A '266) which will define the meaning of "bulletin" as follows:
"Ticket is defined as each unique betting prediction of the player whose result is not related or linked to the outcome of another betting prediction of the player.
(b) "Play Session" concept:
As we have already pointed out in our above letter, it is proposed to change the way taxation of gambling winnings conducted with a gaming session is provided as the current definition provides for the taxation of winnings from the time the player is connected to the Central Information System ( CSF) until its disconnection from the CSF. This definition is variable and may lead to complications in the calculation of the relevant tax, such as:
1. A player may, whenever he shows winnings up to the amount not taxed, terminate the profitable gaming session and create a new gaming session so that his taxable profit is zeroed and starts from the beginning with a new tax-free limit.
Respectively, a player who participates in two or more sessions in a row in the same time period and in one of them wins by exceeding the tax-free amount and consequently is taxed while losing in the next session, will not be able to offset the amount of the loss with his amount. profit.
Therefore, as is obvious, the possibility of different and unequal taxation of two Players for the same pre-tax winnings is inadvertently promoted from the provisions.
It is therefore necessary, in terms of taxing the winnings of games held with a gaming session, that the session be scheduled on a 24-hour basis.
For these reasons, we propose the amendment of the definition of the gaming session of par. 2 of article 60 of law 2961/2011 as follows:
"The Play Session is defined as the time period of twenty-four hours (which starts permanently and always at seven in the morning Greek time exactly (07:00:00) and ends automatically at 06: 59-59 the next calendar day.
(c) Gross Gaming Definition (GGR)
As the gambling providers make loyalty offers (eg bonus, Free bets, etc.) which are financially borne by the provider and do not constitute any cash inflows from the player but an exit for the provider, it is absolutely advisable to clarify - for security reasons law - that participation in games that does not come from money deposited by the player but from loyalty offers is not counted in the GGR as wagers.
This is also fully compatible with the law (article 25, paragraph l of law 4002/2011), the relevant economic study of the European Commission (https://ec.europa.eu/growth/content/study-gambling-services-internal-market-european-union-0_en) and the relevant specifications of the Corporate Finance Institute (https://corporatefinanceinstitute.com/resources/knowledge/finance/gross-gaming-revenue-ggr/ )
Furthermore, regarding the entry into force of article 79 of law 4764/2020 which is provided for March 1, 2021, we would like to point out that this provision is in contradiction with par. 2 of article 60 of 4622 / 2019 (Government Gazette A '133) which provides the following:
"Any regulation which in any way burdens the business activity enters into force either on the first of January or on the first of July of each year".
Therefore, and since the change in the way of taxing the winners' profits burdens our business since we will have to make drastic technical adaptations of our information systems, we consider it necessary that the entry into force of this provision be set on 01/07 and from there. We remain at your disposal.
Sincerely,
The Established Association of Online Gaming Companies of Greece
Stoiximan / Kaizen Gaming
Bet365
GVC
Logflex Ltd
Winmasters
Interwetten
SOURCE news247.gr
