A session of the Bundestag’s Finance Committee heard fierce opposition from the industry to a proposed igaming turnover tax, but also plenty of support for the proposed levy on licensees’ turnover.

The 7 June hearing, chaired by Finance Committee chair Katja Hessel, centred around a proposal to amend the country’s Race Betting and Lottery Act (Rennwett- und Lotteriegesetz). The bill would set a 5.3% turnover tax for all forms of online gambling, including poker and slots.

In effect, this would lead to tax bills being significantly higher than under the 25% gross profit tax set for in-person gambling.

Renatus Zilles, chair of industry association Deutscher Verband für Telekommunikation und Median (DVTM), warned that such a high rate would only benefit the unlicensed market.