Gambling duties amended in the UK
The UK government approved an increase in Gaming Duty bands on gross gaming yield generated by UK-licensed casino operators within the framework of the country’s 2016 budget.
UK.- Yesterday (Wednesday,) the UK government approved the proposed increase. This will take effect for accounting periods beginning on or after April 1 and, in the meantime, operators will comply with the bands set in the Finance Act 2015. No information was yet provided on how much the current Gaming Duty bands would be increased.
Currently, tax rates stand between 15 percent t and 50 percent, so operators pay a 15 percent tax on the first £2.3 million (US$ 3.3m) of the gross gaming yield they generate. After that, the tax paid rises 20 percent for the next £1.6 million (US$2.3m,) 30 percent for the next £2.8 million (US$4m,) 40 percent for the next £5.6 million (US$8m) and 50 percent for gross gaming yield of more than £5.6 million (US$8m.)
After the amendments come in force, casino operators will have to submit two returns when paying their duty: the first, an interim return, will need to be submitted by the end of the first three months of the accounting period and the second, a full return, will have to be submitted at the end of the accounting period, which usually lasts six months.