The Dutch Court of Appeal in 's-Hertogenbosch ruled that online poker winnings earned via the Malta-licensed platform PokerStars.eu are not subject to Dutch gambling tax, affirming the EU principle of freedom to provide services. The decision highlights Malta’s strength as a leading, legally secure jurisdiction for remote gaming operators within the European Union.
Key Legal Issues
- Application of the EU freedom to provide services principle to online gaming operators.
- Determination of the effective place of establishment for online gaming platforms within the EU.
- Exemption from national gambling taxes for winnings earned via EU-licensed operators.
- Recognition of Malta’s licensing regime as compliant with EU internal market freedoms.
Dutch Court Clarifies Tax Treatment of EU-Based Online Gaming Winnings
On 31 December 2018, the Gerechtshof 's-Hertogenbosch concluded that poker winnings generated on PokerStars.eu, operated by Rational Gaming Europe Ltd, are exempt from Dutch gambling tax.
The core issue before the court was whether PokerStars.eu’s operational base was truly within the EU. Although Dutch tax authorities argued that operations were effectively managed from the Isle of Man (a non-EU jurisdiction), the court accepted that Rational Gaming Europe Ltd was legitimately established and licensed in Malta, a full EU member state.
Reinforcing the Freedom to Provide Services Across the EU
The judgment is a clear application of the EU Treaty’s freedom to provide services under Article 56 TFEU.
Member States cannot impose tax burdens or regulatory restrictions that unfairly discriminate against businesses lawfully operating within the internal market. Since Malta’s licensing framework through the Malta Gaming Authority (MGA) is recognised across the EU, Dutch residents playing on platforms licensed in Malta must be treated equivalently to players using domestic platforms.
Implications for Malta as an Online Gaming Hub
This case provides an important signal to the global gaming industry.
Malta’s robust regulatory standards, aligned with EU law, offer gaming operators a predictable legal environment and solid protections against discriminatory national measures.
Operators licensed in Malta can market their services across the EU with increased confidence that national authorities cannot unfairly tax or impede their operations, provided regulatory compliance is maintained.
In turn, this boosts Malta’s attractiveness as the jurisdiction of choice for serious remote gaming operators seeking an EU gateway combined with regulatory credibility.
Strengthening Malta’s Competitive Edge in the Gaming Sector
The Dutch Court’s decision reinforces Malta’s position as Europe’s premier online gaming jurisdiction, offering operators not only a strong licensing framework but also legal certainty across the EU market.
As regulatory scrutiny intensifies worldwide, Malta’s combination of rigorous oversight and internal market freedoms continues to set the gold standard for remote gaming success in Europe.
