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 came into effect on 1st December 2014.
CEO for eGaming Development within the Isle of Man Department of Economic Development, Peter Greenhill, commented:
“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 the 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 future claims under Base Erosion and Profit Shifting (BEPS).”
In an ever changing regulatory landscape the Isle of Man proves that it is one step ahead of the competition, and remains the jurisdiction of choice for eGaming operators.