Isle of Man on-line gaming growthPublished July 1, 2013
Changes in UK law allow for expanded internet gambling options.
Relatively recently, the Isle of Man entered the online gambling industry. In 2005, PokerStars, one of the biggest online poker sites, moved its headquarters from Costa Rica to the Isle of Man. In 2006, the large gaming software developer RNG Gaming, moved their corporate offices to the island as well.
The Isle of Man a self-governing British Crown Dependency, located in the Irish Sea between the islands of Great Britain and Ireland. The low-tax economy with no capital gains tax, wealth tax, stamp duty, or inheritance tax, also has a top rate of income tax of 20%. Offshore banking, manufacturing, and tourism form key sectors of the modern-day economy.
Overall, the economic environment of the Isle of Man is particularly suitable to on-line gaming. From 1986 to 1997 the Isle of Man Government operated its own lottery but since the end of 1999, has participated in the UK National Lottery; in fact, it is the only jurisdiction outside the UK where it is possible to play the UK National Lottery.
Recently, changes in the United Kingdom’s taxation structure have been proposed. These changes are expected to go into effect towards the end of 2014. Together with changes in internet gambling policy changes, the government of the Isle of Man has developed a 5-year on-line gaming plan.
The Gambling Supervision Commission on the Isle of Man and the UK Gambling Commission are discussing the changes to ensure that the Isle of Man’s regulator fully understands the implications the proposed changes in legislation on island-based licensed operators.
The Isle of Man’s successful e-Gaming sector stands to gain from these developments by diversifying the businesses that make up its e-gaming industry. Of course, existing businesses will be supported, while a concerted effort will be made to attract new licensable and non-licensable businesses to the sector.