There are numerous countries issuing legal permissions for online casinos operations. They differ in conditions, requirements, rules, fees and taxes. One of such jurisdictions is the Isle of Man, so let’s see how to obtain a gaming license there.
Isle of Man gambling jurisdiction
The Isle of Man is considered to be well-developed in terms of online gaming as the government provides ongoing support and guidance to the sector. Online gaming is legislated by the Online Gambling Regulation Act 2001 (OGRA).
The gambling industry of the Isle of Man is regulated by the Gambling Supervision Commission (GSC) founded in 1962. The Isle of Man Gambling Commission is responsible for issuing licenses, protecting players’ rights and interests.
Types of Isle of Man’ gambling licenses
The Isle of Man provides a possibility to choose from 3 types of gaming licenses:
- Full License: issued to operators willing to provide the following kinds of gambling activity: sportsbook, betting exchanges, online casino games (roulette, blackjack, slots, etc), peer-to-peer games (poker, bingo, etc), lotteries, mobile phone betting, fantasy sports. The license is issued for 5 years.
- Sub-License: issued to operators who sign contracts with technology providers having the OGRA license. Issued for 5 years.
- Network Service License: allows international gamblers to play on local servers without a new registration.
Requirements to obtain a gambling license
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To obtain an online gambling license in the Isle of Man, companies must:
- be registered in the Isle of Man;
- have servers hosted in the Isle of Man;
- have at least 2 local directors as individuals;
- have at least one appointed resident Designated Official (DO);
- have all bank accounts opened on the Isle of Man;
- provide only certified games.
The Commission can help with many aspects of company administration, such as recruitment, structuring and providing on-Island Directors.
Once the Commission is satisfied and the application is fully completed, the process takes up to 10-12 weeks.
Isle of Man online gaming license costs and taxation
Application for any kind of license
Full OGRA license application annual renewal
Sub-License annual renewal
Network Service License annual renewal
£5,000 + £5,000 for the networking partner
The corporation tax rate is 0%. The Isle of Man also has no capital gains tax and no inheritance tax. The gambling tax rate depends on the gambling company annual net income:
- GGR up to £20 m - 1.5% per year;
- GGR £20 m - £40 m - 0.5% per year;
- GGR over £40 m - 0.1% per year.
The pool betting tax rate is 15% from the player’s pool.
Advantages of the Isle of Man gambling regulations
Having a gaming license from the Isle of Man GSC is beneficial:
- the full license allows issuing sub-licences and white labels to other operators;
- one license for all kinds of gambling;
- chance to get the Sub-License;
- guaranteed security, stable economic and political environment;
- liberal legal framework.
Obtaining a gaming license will help your online casino to create a reputation of high-quality platform and attract new players. The process of getting a gaming license can be easier with Slotegrator, as the company helps operators with documents preparation and legal issues.