Irish Bookmakers Association slams €50,000 tax relief for bookies

The Irish Bookmakers Association (IBA) has branded new proposals to give bookmakers €50,000-a-year tax relief as being “anti-competitive” for Ireland’s sports betting market.

Speaking exclusively to EGR about the proposals in Ireland’s 2020 budget, Sharon Byrne, chair of the IBA, said: “Unfortunately, in attempting to mitigate the effect of last year’s doubling of the tax, the budget change has only made the situation worse.”

Bryne said the changes would allow one or two shops to essentially trade betting-tax free, to the detriment of operators with more than five shops.

“It is going to create an anti-competitive environment and will drive family companies out of business, causing hundreds more job losses,” Bryne added.

Earlier this week, the Irish government unveiled its 2020 budget, pledging to give Irish sports betting firms tax relief on the first €50,000 of bets annually, as a way of mitigating the effects of its 2% tax on operator turnover, which came into force in January.

The Irish government has also said this tax relief will also apply to online sports betting operators. The tax relief was proposed as a way to mitigate the impact of the rise in tax from 1% of turnover to 2%.

Thirty-six bookmakers have closed their doors since the tax came into force in January, with more closures predicted over the coming months.