Two goals of the upcoming re-regulation of the Swedish gambling market are to achieve high control as well as high tax-revenues. High control means that a large proportion of Swedish online gambling is done within the forthcoming licensing system, also called high channelization.
Copenhagen Economics finds that a tax-rate of online gambling, which gives both a high channeling rate as well as high tax revenues, lies within the range of 15 to 20 percent of revenues. Higher tax-rates leads gambling operators and consumers move outside the system. This leads to lower channelization and gambling volumes, and consequently, lower tax-revenues. Lower tax-rates may lead to marginal improvements in channelization, but at the cost of a substantial drop in tax-revenues.
The study was commissioned by The Association of Online Gambling Operators (BOS).
Today, David Nordström and Amanda Stefansdotter presents the results at BOS lunch seminar in Stockholm.
For further information, please contact David Nordström