- Italian Tax Authority released guidelines for the 3 percent Digital Services Tax for online gaming and betting
- Guidelines published on June 3, 2025, under Tax Law Principle No. 6/2025
- Main issue was determining the tax base for gaming and betting companies
- Two options for tax base were gross revenue or net revenue
- DST applies to platforms acting as intermediaries or multilateral digital interfaces
- Only the net margin retained by the platform is subject to DST
- Formula for tax base is gross stakes minus player winnings and gambling tax
- Bonuses granted to players are excluded from the DST base
- Guidelines clarify that only actual retained commission forms the taxable base
- Guidance provides necessary clarification for the complex gaming and betting industry
Source: vatabout.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
