EGBA warns about a new European Union levy on online gambling
The European Gaming and Betting Association (EGBA) has expressed its strong opposition to the idea of establishing a European Union-wide levy on the online gambling sector. This initiative was preliminarily suggested by the European Parliament's Budget Committee as part of discussions on the Multiannual Financial Framework for the period 2028-2034. According to the organization, the application of such an additional tax is not only unfeasible from a legal standpoint but would also have devastating consequences for member states' tax revenues and consumer safety.
The association argues that imposing a new tax burden on licensed operators, who in some countries already face rates exceeding 50 percent of their gross revenue, would create an unsustainable competitive imbalance. This scenario would make it easier for illegal operators, who do not comply with tax obligations or protective regulations, to attract users with lower prices and more aggressive offers. Consequently, the strengthening of the black market would reduce the total tax revenues of European nations and leave citizens unprotected against platforms that lack responsible gambling safeguards.
Legal Obstacles and the Requirement of Unanimity in the Council
Maarten Haijer, Secretary General of EGBA, has emphasized that there is currently no harmonization of gambling at the European Union level, which means there is no legal basis to define or collect such a levy. Haijer highlighted that adding a community tax layer on top of existing national taxes would only benefit those operating outside the law. The entity's position is clear: any attempt to create a new direct source of income for the European Union budget requires the unanimous agreement of the 27 Member States through the EU Council, which seems distant given the preliminary nature of the current proposal.
Coordinated Action Against Fraud and Impersonation
Beyond the tax controversy, the organization continues to work on strengthening the integrity of the European digital market. Recently, the entity provided evidence to the European Commission for the upcoming EU Action Plan against online fraud. In its submission, the association urged authorities to implement a coordinated response to combat fraudulent websites and applications that illegitimately exploit the reputation of regulated operators, thereby protecting user trust in the official digital ecosystem.
Tags: Europe, EGBA, Europe gambling regulation, Europe gambling taxes, Europe betting taxes