The head of the Isle of Man gaming regulatory body has come out to clarify the island's position on the UK's new online gambling tax law.
Peter Greenhill came out with a statement on saying that the island will see a minimal impact, as most users playing with Isle of Man licensed operators are based outside of the United Kingdom. He went on to point out that the law does not require companies be based in the UK to offer their services to British punters, meaning that companies based on the island can retain their business structure.
Speaking about the isle's strengths Greenhill said, "The legislation also requires offshore licence holders to either appoint a UK based Financial Representative who, at great expense, will take responsibility and personal liability to pay UK Her Majerty's Revenue and Customs the taxes owed, or may negotiate to pay 6 months duty in advance."
"The positive news as far as the Isle of Man is concerned is that we have negotiated an arrangement with the UK tax authorities that UK facing operators licensed with us do not need to take on this vast expense. This represents a major saving over other jurisdictions.”
The UK's new laws require firms that offer their services to British punters to obtain a UK gaming license and also pay a tax on the business they generate from the country. Many sites have pulled out of the market, but those who remain have begun informing players and affiliates of the changes.