Netherlands Introduces Two-Step Tax Hike for Gambling Industry

The Netherlands’ new Conservative Coalition government has confirmed a two-step plan to raise income taxes on gambling businesses. Following the Prinsjesdag processions, Finance Minister Eelco Heinen and Prime Minister Dick Schoof presented Budget 2025, which will increase gambling taxes from 30.5% to 37.8%

The increase will be phased, rising to 34.2% in 2025 and 37.8% in 2026, allowing time for “industry adjustments.” The budget emphasizes the importance of “healthy public finances” and outlines the two-step tax increase to manage financial setbacks.

This steep tax hike will end the tax on customer winnings over €449, affecting state-owned Holland Casino, which will need to generate an additional €100 million. Flutter Entertainment has already announced the withdrawal of its Tombola.nl brand due to the upcoming changes.

Nederlandse Loterij has raised concerns about the impact on sports funding, asking for a “specific differentiation” between high-risk and low-risk gambling for tax purposes. Trade bodies NOGA and VNLOK have also expressed concerns, with NOGA’s Interim Secretary Eric Konings warning of potential increases in illegal gambling, stating: 

“The tax increase will lead to further depletion of the regulated supply... social costs will rise, leading to additional financial setbacks."