UK Remote Gaming Duty freeplays tax treatment changes not included in Finance Bill

As we have previously reported, the UK Government announced its intention to amend the tax treatment of Remote Gaming Duty ‘freeplays’ in its 2016 Budget. In December 2016 we commented on HMRC’s reaction to the responses received to its consultation on this subject.

The forthcoming UK general election on 8 June 2017 has meant that time for debate and progression of the Finance Bill was considerably curtailed to fit in with the tight timetable for the necessary dissolution of Parliament, which occurred at midnight last night 3 May.

However, it has been announced that “The freeplays clause is one of many that did not make it into this much reduced Bill, but there has been no policy change. The Government will legislate for these remaining provisions at the earliest opportunity, after the election”.

Updates: 

  1. In a written ministerial statement on 13 July 2017, the Financial Secretary to the Treasury, Mel Stride confirmed that amendment of the tax treatment of freeplays’ will be included in Finance Bill legislation to be published after the summer recess, with the change implemented as planned with effect from 1 August 2017.
  2. On 30 August 2017 HMRC published guidance to assist remote gambling operators to find out which online gambling free games and bonuses offered by them are liable to tax, and how to calculate their liability for accounting periods beginning after 31 July 2017.