UK online gambling companies in particular have chosen to relocate to Gibraltar. This came as no surprise since the UK has no intention to change its current tax rate to accommodate betting companies such as Ladbrokes, William Hill, Betfred, Bet365 etc
The tax rate for betting operation in Gibraltar is 1% of the turnover with a cap of £425,000 per annum. For Internet casinos, tax is 1% of the gross product.
Tax is not the only reason why UK Gambling companies relocate to Gibraltar. There is of course the added benefits of sunny weather and Mediterranean lifestyle.
In addition to this, UK companies can benefit from the following:
- British pound sterling is the official currency.
- Gibraltar is the only UK overseas territory that is part of the EU
- Income tax is lower than the UK
- Employment TAX is similar to Gibraltar’s
- English is the official language
- Non resident companies do not pay, capital gains tax, gift tax, wealth tax, estate taxes or VAT
It really isn’t much of a gamble is it?
All gambling companies come under the remit of the Gambling Act 2005 and are regulated by the Gibraltar Regulated Authority. For further information and licensing requirement please refer to Gibraltar Regulated Authority.