The problem of gambling is not simple, but quite complicated. Because the monopoly on gambling lies with the state. This position is regulated by the state through a so-called state treaty. The question is what laws on gambling look like in Europe and whether there are differences between countries.
Gambling in Germany
As many know, gambling in the Federal Republic of Germany is subject to the protection of minors. This means that only adults can enjoy the fun of the game. In this context, however, the question also arises of a fairground where children and young people can take part in various attractions and try their luck. These attractions are clearly exceptions so that children and teenagers can have fun. However, gambling in slot machines and casinos is strictly prohibited.
Can anyone install slot machines in your company?
It is not uncommon to find a room with slot machines in different restaurants where adults can try their luck.
What seems so simple at first glance is connected with a lot of effort and many different races at second glance. Section 33c of the Commercial Code contains very clear and unambiguous guidelines for obtaining the relevant permit.
Anyone wishing to install such a machine in his trade or business must ensure good and adequate protection for the general public.
Anyone who violates the rules and regulations for gambling must expect very high and therefore extremely dissuasive penalties. This underlines the fact that it is very important for the state to control gambling in the country.
In this case, it is also important to pay attention to the licenses that online casinos have. The mere fact that the casino is a licensed casino does not mean for players that it is automatically recognized in Germany. Because an unrecognized license will result in a violation of the law if you still try your luck at the online casino.
What’s the contract?
The so-called State Treaty is a treaty on gambling in Germany. This applies between the different federal states of the Federal Republic of Germany and pursues many different goals. The Land of Schleswig-Holstein is not a party to this agreement and has preferred to follow a special path.
In order to better understand and understand the State Treaty, it is important to know how fsd defines the game.
The definition of the game
According to the State Treaty, a game of chance is a game that has the possibility of winning in the form of a reward.
It is also important that the decision as to the outcome of the game is made solely by chance. Although betting is not part of the gambling sector in Austria, Germany does not distinguish between betting and slot machines, since both fall within the category of games of chance.
Therefore, this definition includes almost every game in the industry that can help players make a financial profit.
Aims
On the one hand, it is about monopolizing gambling in favour of the state and taking joint action against gambling and gambling addiction. In addition, all federal states of the Federal Republic of Germany must participate in the creation of conditions for an effective fight against gambling addiction.
In general, it can be said that the objectives laid down in the State Treaty in this sense are very strongly aligned with the interests of the State. The entire treaty is primarily oriented towards the state’s own interests and creates some advantages for them in this context.
The Future of the State Treaty
The fact that the Treaty was extremely positive for the German state is perceived not only by the citizens but also by the European Union several times. However, this is not a kind of positive attention, but an increasingly negative attention. For this reason, the future of this treaty is very questionable. The very strong and unmistakable trend towards monopolization is very pronounced, so that this has already been noted very negatively on several occasions.
Profit taxation
People take part in various games of chance for a very special reason – everyone waits for luck and the blessing of the money associated with it. Of course, the game is a lot of fun, but the hope of a big victory is clearly in the foreground.
In fact, people continue to earn small or large sums of money, and in this context the question arises as to whether these benefits should be taxed.
Firstly, there is a very clear answer to this question. It states that winnings from gambling do not have to be taxed first. The reason for this is that the income is a one-off income and not a current income.
Exemptions
There are two exceptions to be considered in this context. For example, profits are taxed when people play professionally. A second special rule applies when the player collects the winnings from the job exchange. In this case, the employee must report the additional income to the Employment Agency.
The tax for suppliers
In contrast to the actors, the suppliers themselves are more responsible. Because they are subject to concession rights. In addition, they are obliged to transfer a larger part of the benefits to the state and thus share them with it.
The legal situation in Germany and Europe
The fact that the legal situation is not easy, but very difficult, is particularly evident in the area of online casinos.
Online casinos
In online casinos there is the phenomenon that German and European law collide and thus literally collide.
As Germany bans gambling by companies licensed to operate in Gibraltar or the Isle of Man, it has already received several complaints from the European Union. After all, the legal situation in the various countries of the European Union is very different, and each country has its own rules in this respect.
The regulations in the individual countries
Here is a selection of some countries.
Italy
The rules in Italy are very similar to the rules in the Federal Republic of Germany, where the addiction to gambling is very high.
France (France)
Strict rules for gambling also apply in France.
Since the 19th century, gambling and lotteries have been banned. The exceptions are also very strict in this respect. Licences are also issued by the Ministry of the Interior.
The profits from sports betting are subject to a tax of 28 to 30 percent.
Poland
Suppliers must be established in Poland or have a branch in Poland. This is the only way they can offer their services in the country.
Spain
The Spanish approach to gambling is very liberal. Since 2011, however, the country has been regulating the supply of gambling with more violence, as it wants to avoid major excesses.
Great Britain
The game is a traditional and therefore very important industry in Great Britain.
You grant an operator license on the one hand and personal licenses on the other. The United Kingdom does not yet levy taxes on profits.
Closing balance
As far as the legal situation of gambling in Germany and also in Europe is concerned, it has to be said that the laws are very strict and also the observance of the laws is strongly controlled. Above all, players need to be well informed about the validity of online casino licenses so that they do not accidentally become the subject of prosecution.
It remains to be seen whether and to what extent the European Union and Germany will come to an agreement. It is not unusual for the strict legal situation to lead to rigidity between the two parties.