Why Choose Ampla?

Gaming taxes vary dependent on the product offered. In the UK alone there are 7 different gaming taxes each with their own specific rules and regulation. The rapid growth of eGaming has seen other countries deregulate their gambling laws, which has in turn led to the implementation of new gambling tax regimes in those jurisdictions too. Pan-European operators are now faced with multiple gambling tax reporting obligations and liabilities.

Ampla have over 14 years experience of working with Regulators, Trade Associations, equipment and software suppliers, and other industry stakeholders across the UK, EU and Worldwide. Our knowledge of different markets and industry sectors allow us to guide our clients through the complex tax & regulatory landscape and to help them make informed, decisive business decisions on a daily basis.

Compliance and Reporting

At the time of writing the majority of EU Member States have introduced gambling taxes for land based and / or eGaming activities. The position becomes more complex due to some Member States imposing different gambling taxes depending on the product being offered. The UK alone has 7 different gambling taxes.

If we consider the complexities of the above for operators licensed in multiple jurisdictions and add the diverse regulatory reporting requirements laid down by each Member State it is fairly easy to determine the significant amount of resource and cost faced by operators in this sector. Operators are required not only to identify and report bets placed and gaming wins by reference to each jurisdiction, but also to identify and calculate stakes and winnings on a product-by-product basis. If you take into account the fact that certain jurisdictions may allow relief against tax for free bets on certain product then the complexities, resource requirements and associated costs are significantly enhanced.

Ampla can provide assistance on a number of levels:

Tax Reporting

From a complete outsourcing of a tax reporting function to statutory report filing of gambling taxes in the UK and across the EU.

Compliance Reviews

Compliance reviews, reporting process reviews, and gambling tax health checks. We can highlight areas of potential risk and identify opportunities to reduce tax costs.

Fiscal Representation

Ampla is able to offer fiscal representation for eGaming companies located outside the EU through a partnership agreement with a third party.

 

Establishment / Place of Supply

Where a company has more than one ‘establishment’ then to determine the place where services are received, which in turn provides the VAT treatment for those supplies, a company must look to which establishment is most closely linked with the receipt of those supplies. Typically, betting and gaming companies will have a business establishment in the location where it was originally incorporated and licensed and other fixed establishments in jurisdictions where it has back office and support functions located.

Where it is deemed that supplies have been received in the UK or other EU Member States and VAT is found to be chargeable, such VAT is likely to be irrecoverable representing an absolute cost to the business

Given that the standard rate of VAT in the UK is currently 20% such costs could be significant. Our industry experience suggests that the higher value services which would be affected include affiliate fees and charges; marketing and promotion; central support functions such as IT, Finance, HR, and accountancy and legal. However, this list is by no means exhaustive and companies would be required to consider the VAT treatment of all services received from the UK and/or other Member States.

Ampla has extensive experience of working with eGaming companies across all jurisdictions to review its operational structure from an indirect tax perspective. Reviews can range from a high level, ‘red flag’ report highlighting potential areas of risk, to a detailed review of each operational function to ensure the infrastructure is robust enough to withstand challenge.

Consulting Services

From ad-hoc VAT queries to VAT help line arrangements, Ampla can tailor its services to meet individual requirements.

  • Expertise

    Over 17 years industry expertise

  • Reach

    Working with customers across the UK and EU

  • Service

    A professional service guaranteed

Disputes and Litigation

Where Gambling Tax issues cannot be resolved or where HMRC refuse claims for repayments, a business can appeal to the Tax Tribunal. In addition, companies can apply to HMRC to seek recourse via dispute resolution. The best course of action will depend on individual circumstances and the nature of the dispute.

Ampla has experience of negotiating with HMRC Policy at the highest level in order to seek resolution to disputes across all UK betting or gaming duties and have a deep understanding of the processes and requirements involved to promote a positive outcome.
Ampla has over 10 years experience of litigation support at all levels of jurisdiction from local tribunals to the Court of Appeal. We can guide you through the entire process and work alongside your existing legal representatives if necessary.
Using its network of tax barristers and contacts with Legal Counsel, Ampla can advise and assist companies through all aspects of tax litigation from the initial drafting instructions to Counsel through to acting as the company’s legal representative for the purposes of the case.

Training

Ampla has experience of designing and delivering training courses across all aspects of Gambling Taxes.

Basic courses can provide accounts payable, accounts receivable and other general finance team members with an overview of the tax(es). More experienced or senior employees can benefit from more detailed courses covering specific areas of Gambling Taxes including marketing and promotional cost relief and the interaction of gambling tax revenues with VAT return liabilities. Alternatively bespoke training courses can be designed and tailored to meet your company’s requirements.

Want More Information? Get in touch!

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