Gambling tax in the Netherlands to increase significantly
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23 Sep 2024 •
Reading time: 2 minutes The gambling tax in the Netherlands will be increased significantly in the coming years. In 2025 the rate will increase to 34.2% and in 2026 even to 37.8%. This step was confirmed in the Budget Memorandum earlier this week. But what does this mean for the players and the companies that offer games of chance?
Why is the gambling tax increasing?
The Dutch government has decided to increase the tax to generate additional income. They expect this measure to generate around €202 million annually. In 2025 it will start with an additional €102 million. That sounds like a lot of money and it is.
The idea is to do this gradually so that the sector can adapt to the new rules. But gambling companies such as Holland Casino are not jumping for joy.
What does this mean for the gambling providers?
Companies such as Holland Casino are very concerned. They warn that the tax burden will become so high that they will hardly be able to make a profit.
“Our total tax burden will then be almost 50%. That means that black figures are not possible. We will then make a significant loss.”
Petra de Ruiter, CEO of Holland Casino
A strong statement which shows how difficult the situation can become.
And they are not the only ones who are worried. The online provider Tombola has even announced that they will stop their services in the Netherlands as of 1 October 2024. The higher taxes and new playing limits make it impossible for them to continue operating.
What are the consequences?
For players this could mean that costs will increase because gambling companies will probably pass on the higher taxes. In addition there is a chance that some players will switch to illegal gambling websites where the rules are more flexible.
This could well become a very big problem. Especially because the Netherlands will soon have the highest gambling tax rate in Europe.