"Regulating Gaming in Ireland" Report

dK1NG

http://www.justice.ie/en/JELR/Pages/PB08000367

bantee

Cliff notes perhaps? Its 222 pages long!

I'm reading this regardless so I'll cliffnote it over the weekend.

Alternatively read page 127 (116 in the printed text) for the conclusions which are not great but give you the gist.

tHE vAGGABOND

5.7 Conclusion
5.7.1 Most governments have not enacted nor even considered any special laws on remote gaming.
Many governments say they are only studying it. 229 However, the loss of tax revenue from online
gaming has forced these governments to re-examine their stance towards the issue.

5.7.2 Ignoring the impacts of the Internet gaming does not work. Governments have demonstrated
their unwillingness to lose tax revenue from their citizens who have already developed gaming habits
by taking part in offshore online gaming activities. At the same time, they do not object to foreigners
taking part in their authorised gaming operations, which will bring in more tax revenue.

5.7.3 There are now approximately eighty-five jurisdictions issuing some forms of online gaming
licences. These are primarily smaller nations, such as Antigua, and individual States and territories
of larger nations, including those in Australia who are starting to compete by offering lower tax rates,
which range from 8% to a prohibitive 50%.230 Tax bases differ from jurisdiction to jurisdiction.

5.7.4 Tax rates on internet gambling vary among jurisdictions, with most below 5%. Some examples
of current tax rates include: 231
(a) Isle of Man 2.5% on the first £10 million of “handle”; 0.5% between £10 million and £40 million;
0.1% above £40 million.
(b) Antigua and 3% of “hold” (the amount retained by the Barbuda gaming entity after paying off
winning bets); ceiling of US$50,000 per month.
(c) Alderney £75,000 per year fee (zero tax).
(d) Several commentators anticipate that Great Britain will impose higher tax rates on internet
gambling than most other jurisdictions. Great Britain is expected to announce its tax rate in 2007.

5.7.5 Some governments across the globe in their announcing prohibition of remote gaming have
reacted very quickly without due consideration of the many complex issues and potential benefits
involved. It is of the utmost importance that Irish policy makers do not make the same mistake. It is
the opinion of the Committee that strict regulation of the remote gaming market be established.

5.7.6 Some governments, in particular large nations such as the United States have adopted a goslow
attitude because of ethical considerations. It is always idealistic to have regulation or a total
ban on online gaming. Gaming operations are having an impact on many nations’ tax revenues. After
various legislation debates, prohibition usually means clarifying the law to create partial legalisation,
allowing some forms of restricted online gaming operations. 232

5.7.7 It looks as if the future outlook of internet gaming is already set. It appears that many more
governments will be getting into the business of regulating and licensing online gaming. Government
officials realise that the remote gaming industry has grown more quickly than what they expected.
The trend is also toward more regulation. Nonetheless, although regulation or a total ban of online
gaming seems ideal, due to the special nature of the Internet and the gaming industry, any attempts
to regulate or to completely prohibit online gaming is likely to have a minor impact.

5.7.8 The issues involved in online gaming are a lot more complicated today. The ever-changing
technology behind the Internet means prohibiting online gaming is virtually impossible. Online casino
operators are based offshore, which is beyond the reach of gaming laws and regulations.

5.7.9 Online gaming is still a very controversial issue. Whether one is to opt for outright prohibition
or to legislate for the provision of remote gaming activities is a question that can only be addressed
when considering national, social, economic and political contexts. There is no way to really know,
but the fact is many nations have put a great deal of effort into trying to facilitate effective gaming
regulations to control online gaming. However, to what extent the regulations could be measured as
‘effective’ is still dubious. As was stated earlier, we are merely scratching the surface on these issues.
More work is necessary in relating each and all of these matters to the Irish context.

Was reading it too anyway, so here are the conclusions..

Basically - "we want tax from online gaming, but so does everyone else - so lets sit around and see what they do"

ZZR1100

Recommendation 31: The current state of development internationally of regulation of remote
gaming, particularly the recent United States prohibition of payment mechanisms for gambling
online, presents a window of opportunity for Ireland. The Committee recommends that the
appropriate regulatory authority (in conjunction with other relevant Government Departments)
address the concomitant regulatory challenges and provide a socially responsible and secure
arena for the development of remote gaming based in Ireland. Should this opportunity be
grasped within the appropriate timescale, Ireland, as a gaming friendly centre of excellence, canreasonably expect to attract a reasonable portion of this dynamic industry, therefore yielding
significant synergistic benefits as well as employment opportunities

pocketdooz

I see Paddypower stock is way down today - about 7%

So, it would be safe to assume there is something in the report about taxing gambling (read poker) winnings ??

Maybe BCB or the other guy here who works for them could shed some light ?

gerire

Report from poker news
http://www.pokernews.com/news/2008/07/irish-government-study-recommends-online-gambling-regulation.htm

Mellor

Casino to be built in the park imo