Court lifts VAT burden from Belgian operators’ shoulders

Belgium’s Constitutional Court has struck down a bill that placed a heavy value-added tax (VAT) load on the shoulders of gambling operators in the country.

Stockholm-listed online gambling operator Kindred Group Plc announced that the Belgian court has stopped the parliament from abolishing the VAT exemption for online games and betting. Kindred was one of the gambling firms that challenged the VAT law for undermining policy objectives and “lowering channelization with lower consumer protection as a result.”

“Kindred Group yesterday received a positive ruling in the Belgian Constitutional Court cancelling the imposed VAT on online gambling. Kindred remains committed to a sustainable regulation and sees the ruling as positive for consumer protection,” the company said in a statement.

In July 2016, the Belgian Chamber of Representatives adopted a law that will force online and betting casino sites to remit 21 percent VAT. The controversial law took effect on August 1, 2016.