The Italian Parliament approved several changes in 2015 that became effective this year.
The most important improvement is the possibility for CTDs to obtain a gaming license. CTDs are small betting shops spread all around the country. There are almost 2500 local points of sale with a strong presence on the internet and a huge SEO budget. The legalization and authorization of these shops will have a big impact on the Italian gaming industry.
The actual regulation of AAMS required a very complicated registration process. This new legislation makes it possible to use a form of “quick registration”. A player just needs to finish this simplified process and can start playing right away. The new law adds an additional 30 day period to complete the full registration.
The major change is related to taxes. Before the law, companies were paying taxes based on turnover; which was a major issue for sports betting, bingo and poker sites. The new law states a 20% margin based tax for all online and land based gambling operators.
Will Brexit Break Gambling in Italy?
With the effects of Brexit still being felt, gaming operators in Italy will be faced with several important decisions regarding the futures of their operations in Italy.
The issue resides in the fact that in Italy, the law requires basically any land based or online gaming operations have a license and registered office in the European Economic Area.
As you can surmise where this is going, with Brexit the UK has left the European Economic Area, which means any companies that are based in the UK will no longer be meeting the requirements for the Italian market.
This means any operators that have a license and/or their physical infrastructure, software, hardware, etc. will have to relocate these assets to a country that is still a part of the European Economic Area.
The prospect of having to make such a daunting logistics task is already putting many operators nervous, however the kinks of Brexit are still being worked out, and some arrangement could be placed on the negotiating table that takes into account the actual longer term consequences and develop a prudent approach.