n contrast to all other games of chance, lottery prizes at €449 or below are not taxed in the Netherlands, a situation that is not expected to change. As a result, land-based lotteries, instead of the nominal rate of 29%, face an effective gambling tax burden of less than 10%.
“Questions are most certainly being asked as to whether this advantage constitutes state aid,” said Alan Littler, an academic focused on gaming policy who works with Amsterdam-based attorneys Kalff Katz & Franssen.
In a somewhat similar case, entrants to the newly liberalized Danish market also expressed concern that former monopolist Danske Spil possessed an unfair advantage, as it shared its customer base and website with its land-based operations. Years later, in 2015, Danske Spil still controlled 48 percent of the entire Danish gambling market.