UK Sportsbooks Win £1 Billion VAT Ruling

This story was published more than 2 years ago.

UK sportsbooks have won a big case against HM Revenue & Customs, as Betfred won a ruling that could see books raking in a £1 billion tax rebate.

Officials overseeing the case ruled in favor of Betfred, noting that VAT collected on fixed odds betting terminals from 2005 to 2013 breached net neutrality rules. This was because online casino games were exempt from the tax. The tribunal calculated the £1 billion rebate as an estimation of VAT paid by books over the eight-year period.

It's believed that Betfred will be claiming about £100 million of the rebate.

Upfront, the ruling is a win for bookmakers that offer fixed odds betting terminals (FOBTs), which have recently faced clampdowns on the max-bet amounts. Players will now be restricted to £2 per bet, down from the £100 now available. This change is being delayed a bit as parliament needs to augment statutes to make the changes legal.

No comment from any party involved in the VAT case was available as of press time.

About the author

Therese Williams // UK Correspondent
Therese Williams
Therese is a fervent fan of slot machines and pub fruities, often trying her luck at some of the top online casinos. She covers news for Casino Listings with a focus on the UK and Europe. Therese studied arts and creative writing at university and has written for newspapers in the UK.
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bgsharpe
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31 July 2018 - 2:59pm
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Gosh, I think from Betfred might be relieved from the court decision,otherwise they would of been in big troubles and the opposite ruling could be even meant the company's bankrupt.