Isle of Man – Double duty relief introduced in the Isle of ManBy Phil - 18 December 2014
The Isle of Man Government has responded to the recent introduction of the Place of Consumption Tax in the UK by allowing Isle of Man licensed operators to claim Double Duty Relief up to a monetary maximum equivalent to the amount of gambling duty which would have been paid to the Isle of Man Treasury on the same activity.
These changes became effective from December 1 2014.
CEO for e-Gaming Development with the Isle of Man Department of Economic Development Peter Greenhill said: “We recognise the burden that the new UK tax will place on our licensed operators and while we are not legally bound to offer this relief we have decided that this is the best approach. In addition, the Isle of Man’s positive relationship with the United Kingdom’s HM Revenue and Customs means that our operators will not have to appoint a Fiscal Representative in the United Kingdom, thereby saving them substantial costs. This decision provides reassurance to Isle of Man licence holders so that they can continue to run their operations from data centres on the Isle of Man and base their decision making capabilities here as well so as to protect against any future claims under Base Erosion and Profit Shifting (BEPS).’
The Isle of Man currently has 56 licensed operators and e-Gaming represents 13 per cent of its economy.