It’s something of a new day in German online gambling, now that one of its states has approved legislation that would regulate the industry, and it is seen to have a stabilizing effect, as well as one that will help the competitive atmosphere.
To this point, there had been no form of regulation, so companies who were pulling in German customers were not paying any tax. However, the state of Schleswig-Holstein will permit any company to enter the market and pay a 20% tax.
There are fifteen other German states, though, and they want more. The European Commission is looking at those proposals as they have been identified (by those within the industry) as being rather oppressive.
That is why the Schleswig-Holstein action has been welcomed. The state had been willing to go along with the other states and have one unified piece of legislation, but as it turns out, that was not possible.
The games of blackjack, baccarat and roulette would not be allowed under the new legislation. Everything else, including sportsbooks, poker, and betting exchanges (like Betfair, for example) are permitted.
People in the industry are waiting to see what the effect of the maverick action of this single German state is going to be. It is quite possible that the other states will go along with the model established by Schleswig-Holstein in order to be competitive, and the EU’s influence should have a bearing on it as well.