4/8/2022»»Friday

Online Gambling License Italy

4/8/2022
  • The price for online gambling licenses in Italy accounts for €200 thousand euro, which is relatively cheap compared to the price of gambling permissions in other European countries. Almost a third of requests will be satisfied and licensees will be issued to those operators who have already expired permissions of 2016.
  • Until recently, the Italian government hasn’t regulated its online gambling industry. Run out of the capital Rome, the government has made it the responsibility of the AAMS (Amministrazione.
  • Avoid words that could apply to lots of operators. For example limited, bookmakers, London or casino. Searching with a licence number. If you have a licence number from an operator and want to locate the public register record you will need to do the following. A licence number is usually in the following format 000-012345-N-987654-001.

All online casinos that operate on Italian market have to acquire license issued by AAMS. This Italian organization is responsible for regulating both land-based and online casino industries within the country. Italy is well familiar with gambling. Not everyone knows, but the word 'casino' itself has Italian origins and was first used to define a gambling venue in the late 18thcentury.

In order to provide gambling activities and operate an online casino, it is important to get a license for that. It proves that the operator is honest and reliable which helps to establish trust and attract players.

There are many jurisdictions which offer online gambling licenses. They differ in costs, requirements and rules. Let’s see what is needed to get a license in Italy.

Jurisdiction

Italy was the first EU country which proposed clear licensing and regulation policies for online casinos. Today, the gaming industry is regulated by the Agenzia delle Dogane e dei Monopoli (ADM).

Also, it is worth noting that in Italy, any kind of gambling advertising is prohibited, as the ban came into force on January 1, 2019.

Types of online gambling licenses

Italian regulatory body provides a possibility to choose a license from three types:

  • online casino license;
  • online lotteries license;
  • license to accept bets for sports races.

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Requirements to get an online casino license 2020

Gambling

According to gambling legislation in Italy, in order to get an Italian gaming license, it is necessary to provide the following documents:

  • proof that the website is registered on an .it domain;
  • passports of all founders and shareholders;
  • bank certificates proving the account opening;
  • proof of financial sustainability;
  • proof of the gambling software quality;
  • platform and games description;
  • detailed business plan.

It is important to note that offering gaming activities in Italy without a license leads to 6 months - 3 years imprisonment.

Costs and taxation

The corporation tax rate is 27.5% and there are also additional gaming taxes:

Online casino games

0.6% of turnover

Exchange betting

20% on gross revenues

Sports betting

3.5%

Horserace betting

10%

Skill-based games

3%

Bingo

11.5%

Challenges and advantages of Italian online gambling license

Some operators see relatively high taxes and strict requirements for getting a gaming license in Italy as a challenge, however, the jurisdiction provides several advantages:

  • good reputation and prestige of a company;
  • the right to open the casino and become a partner of European banks;
  • the short time of license issuing.

In order to launch an online gaming business faster and get a license easier, operators can use the service of Slotegrator. The company helps to get a reliable gaming license by assisting with legal issues and documents preparation.

Italian authorities are planning to issue as many as 120 online gambling licenses before the end of the year.

Although the new government is opposed to gambling, the application process began in January when the previous regime was in power.

The gaming regulator in Italy, Agenzia delle Dogane e dei Monopoli (ADM), announced that as many as 120 online gambling licenses issued.

This process is nearing its closing stages, and those who are awarded license will be notified before the end of the year. These licenses will be valid through December 31, 2022.

Turbulence in Italian gambling sector

There was a change in government after the general election in March, which came after President Mattarella dissolved the previous parliament at the end of 2017.

The resulting election led to the formation of a coalition. The Five Star Movement, an anti-establishment group, received the most votes. It took three months for a coalition to be agreed upon between the Five Star Movement and the right-wing League party.

The coalition is opposed to gambling and has already made many changes in the domestic sector. Their biggest move so far has been to ban advertising by gambling operators.

Part of the Dignity Decree, the ban will be implemented at the start of 2019. Google has already complied with this decree and removed gambling-related advertisements from its Italian site.

The government has also discussed trying to persuade other European nations to do the same. Italy is the first European country to introduce such a ban, saying that gambling ads help to destroy families.

As part of the ban, gambling companies are no longer allowed to sponsor sporting teams because that’s a form of advertising. Gambling companies sponsor 12 of the teams in the Serie A (the leading football league in Italy).

If this ban is implemented in January, it will mean that many of the teams will struggle to reach the financial fair play rules that are required by FIFA. AC Milan has already failed to meet the FIFA break-even requirement. A fine of 5% of the sponsorship value or £45,000 is imposed on those who fail to comply.

Because many key political figures have links with the gambling sector, there is a lot of outrage about this issue. Former Prime Minister Silvio Berlusconi, for example, owns Mediaset, which will lose substantial revenue when the ban goes into effect. Italian teams will struggle to be competitive if they cannot find alternative sponsors.

A transition period gives teams until June 30, 2019, before they have to terminate their associations with gambling sponsors.

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The Italian gambling sector brought in revenues of nearly £17bn ($22.5bn) in the most recent recorded year; it will be interesting to see how much of an impact the new advertising ban has on their fortunes.

New online gambling licenses

Specifically, the tender that started in January was for the “setting up of the operation of online gaming platforms.”

This category includes pool and fixed-odds betting options for sporting events, skill games that offer cash prizes (lotteries are not included, but poker, along with casino and card games, are permitted), fixed-odds wagering between different players, and bingo.

A total of 120 licenses have been put up for grabs by ADM. About a third of them will likely be given to operators already in the market whose licenses have expired.

The deadline for applications to be submitted is March 19, 2019. However, the ADM want this process to being as soon as possible, and licenses will be given out on a first-come, first-served basis.

Online Gambling License Italy Attractions

With the gambling advertising ban in place, the anticipated number of applicants is expected to fall short of the 120 available licenses.

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Because it will be almost impossible to advertise their services properly, new operators face a massive barrier to entry. How can they expect to gain new customers and increase their exposure if they are not allowed to advertise?

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The license fee is £175,000 ($231,000). Approximately two-thirds of the 120 licenses are expected to be issued, which would bring in £14m ($18.5m) in license fees. If all 120 licenses are issued, the amount would be £21m ($28m).