Italian gambling tax haul declines
The national regulator ADM has collected 6 per cent less for the period to September 30.
Italy.- The customs and monopolies agency ADM, which regulates gambling in Italy, has reported collecting €8.05bn in revenue from gambling tax for the quarter running from January 1 to September 30. That’s a drop of 6.5 per cent year-on-year, according to the annual Statistical Bulletin.
The decline would make this the first year with a downturn in the gambling tax take, other than as a result of the Covid-19 pandemic in 2020. The tax haul saw a notable drop in the last quarter ending September 30, falling by 16 per cent from €3.3bn in Q3 2023 to €2.22bn, caused by a 26 per cent drop in spending on gambling to €4.35bn.
Gaming machines were the most significant contributor, contributing 41 per cent of gambling tax at €910m. That was from expenditure of €1.26bn. Number games and lotteries contributed €870m (39.08 per cent), betting €180m (8.17 per cent), and other games €260m (11.64 per cent).
The drop in gambling tax revenue contrasted with some other sectors under the supervision of the ADM. Tax takings from tobacco in Q3 were up by 5.77 per cent at €4.18bn and the take from customs was up by 2.98 per cent at €6.84bn. However tax revenue from alcohol fell by 3.07 per cent to €0.41bn.
The ADM has launched a new framework for online gambling licences in Italy. The new licences will last nine years and cost €7m a piece. Operators are also changed an annual fee representing 3 per cent of gross gambling revenue on top of standard taxes. Operators will only be allowed to operate one app and website for each product type. Skin websites promoting branded products are not allowed.
The Ministry of Finance justified the increased licence fees on the grounds that the market has significantly changed and is now dominated by major multinational operators. However, the ADM expects that around 50 operators will apply for new licences. It expects €350m from initial licence fees and €100m from annual fees.
The framework will be incorporated into Italy’s Decree on the Reorganisation of Gambling, which currently deals with slowly advancing land-based gaming reforms. The Italian media and communications watchdog AGCOM has announced the introduction of a new mandatory age verification for adult content, including gambling. The technical measure will require media to check the age of users via the national digital identity system SPID before allowing them to view content or access services related to pornography, gambling and other adult-specific social media categories.
