What will happen next with the betting shop tax?

Since 01.07.2012 the new state treaty on gaming is in effect, and since then, for all sports betting in Germany, the new rule is to deliver 5% betting tax to the state. Most bookmakers, such as Bet365, calculate the tax payment to the bettors, so you can place your bets with this bookmaker even without paying the tax. Thus, it is of course more difficult for German customers to bet at a profit. The odds are, of course, with the 5% tax, also getting 5% worse.

Fortunately, there are still some betting bureaus where you can bet without filing a tax. These either do not give these taxes on to the customers, but they pay out your winnings. Or the other option is that they pay no tax at all, and then eventually get problems with the German tax authorities. The betting shop’s customer has to fear no disadvantages, as the IRS will not come to check him. This is because the tax is payable by the betting shop on to the German state and not by the customer himself who bets.

The 5% tax rate then turns, for example, a 2nd stake into a 1.95 ratio stake, in the case when the betting office paid only taxed profits. If the betting office preserves the 5% on the entire sales which are made, then the ratio falls to 1.90, and everyone can well see that it is here that there will be very large differences. So, it is better if the first stake comparisons include the tax within themselves, and also take into consideration that there are still betting shops that are taking no tax. With these betting companies you can still be placing your bets without tax.

But as a customer, you should not seek out only these betting shops to count on, as eventually the odds are still worse than, for example, in the Pinnacle Sports who often have the best rates on the market. It is also the case that you as a customer, should be on the safe side no matter what the betting shop you would choose to place your bets at. It is still not quite sure which bookies have got a license for Germany.

This will certainly be decided in the upcoming weeks. A problem for the German sports bettors is definitely the closing down of the betting exchange Betfair, because, so there is only the Betdaq Betting Exchange on the German sports betting market at present. Unfortunately, there the sales are still low.

The developments at the German sports betting market still remain exciting. Surely, there will soon be again enough alternatives on the market, and also online betting shops in the cities are going to be open again. But there will be no more at home in Germany such a sports betting paradise as in England.