William Hill To Stay In Gibraltar Despite Tax Changes
by Jason Gorringe, Lowtax.net, London
07 January, 2014
United Kingdom-based bookmaker William Hill does not plan to withdraw from Gibraltar despite new laws which will make its British customers subject to a 15 percent tax on online winnings.
The UK's decision to implement the 15 percent tax on a point-of-consumption basis from December of this year will remove the ability of bookmakers to benefit from low-tax jurisdictions such as Gibraltar while reaching British customers via online services. The tax is expected to cost the online gambling industry GBP300m (USD492m) per year.
The managing director of William Hill Online, Andy Lee, told reporters that the company has more than 400 employees in Gibraltar, and its global operations are run from there. "Our staff are very happy there and there are reasons why we will remain there in order to be competitive in this market," he said.
The UK's Gambling Commission estimated that the worldwide remote gross gambling yield (excluding telephone betting) in 2012 was GBP21bn. It said that the gross gambling yield (including phone betting) generated by UK consumers for overseas-based regulators grew by roughly 1 percent between 2011 and 2012.
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