No Room for Profit
The French online casino and poker gambling industry is simply not living up to
all that was hoped when France first announced that it was developing new
regulations for a more liberalized and fair internet gambling market. France
used to operate a state monopoly and the new regulations are designed to now
allow foreign competition within the France – but the new playing field is far
from level and the foreign operators are having a heard time even making a
profit with the steep taxes that are only levied on non-French companies. To
continue operating in the French market the online casino poker sites have been
forced to pass on the extra tax levies onto the gamblers themselves – a fact
that has generated protests throughout the country.
In fact, the decision to pass along the taxes could not have worked out better
because the French officials were not keen on listening to the protests of the
online casinos and poker sites themselves, but the French citizens have
organized wide-spread protesting reminiscent of the Tea Party protests that took
place long ago in the US also in protest of unbearable tax burdens. The
unfortunate part of the Tea Party sit-ins is the fact that these tax protests
are having an even harder effect on the gambling operators and costing sites
like Poker Stars a lot of money – perhaps a motivation for the gambling
companies and the players to push harder against the government’s current
policies.
The gist of the sit-ins is that poker players are heading to the poker rooms in
the online casinos, filling the tables, and then sitting out the hands of play.
There is a strong hope that all of this current protesting and action will force
the French government to reconsider the 2 percent tax on rakes and all of the
games played. Other countries have shown that lower taxes on the rakes actually
increases the amount of players and thus more money in tax revenue coming into
the state coffers. |