30 Jan 2015 11:30
30 January 2015
bwin.party digital entertainment plc
European VAT Update
On 1 January 2015, new VAT rules came into force across the EU impacting several areas of the digital economy. Gambling has typically been exempt from VAT but falls within the rules for VAT on electronically supplied services. Under EU law, Member States have the ability to apply VAT to gambling subject to certain limitations and conditions, and tax may be due depending on where customers are located and how Member States implement any exemption. Whilst substantial uncertainty remains, in the light of the new rules the Board now expects to file for and pay VAT in certain EU Member States and that in 2015 total net revenue and cashflow will be reduced by approximately €15m before any mitigating actions.
Contacts:
bwin.party digital entertainment plc
InvestorsPeter Reynolds +44 (0) 20 7337 0177
MediaJay Dossetter +44 (0) 20 7337 0134