2021 Interstate Gambling Treaty Implemented Across Germany

Experience a new era of online gambling with the introduction of exciting licensing opportunities for private online casinos, online poker, and sports betting operators. IGT 2021 has also implemented certain restrictions on casino advertising.

What’s Different?

IGT 2021 allows private operators to apply for a nationwide gambling license. The license will be valid for five years, but operators must obtain permission from the Federal States to offer virtual casino games, as they fall under German laws and are closely monitored by regional authorities.

Operators are allowed to offer virtual slot machines, online poker, and sports betting. However, the licensing process is very specific and covers six main points.

Dedicated Sections for Various Activities

An operator must create separate sections on their website if they offer multiple gambling options such as sports betting, virtual slots, etc. Players should not have access to multiple options within one section. Additionally, operators are prohibited from cross-advertising.

Limited Monthly Deposits

Punters can only deposit up to €1,000 per month across the entire domain. This applies to all forms of online gambling. This means that a player can only spend €1,000 per month on all legal gambling platforms combined.

Security Deposit

Online operators must deposit €5 million as security when applying for a license. This amount may increase depending on projected monthly revenue, with a maximum limit of €50 million.

Flexible Betting Limits

Punters can now bet on game outcomes and live events. Live betting is also allowed under certain conditions.

Establishment of Central Monitoring Authority

In the coming months, a central monitoring authority will be established to ensure compliance. Providers must pay a fee to connect to the central database.

Minimum Spin Time for Slot Machines

Virtual slot machines must spin for at least five seconds before displaying results. Additionally, punters are limited to a maximum wager of €1 per spin.

How to Apply for a Gambling License?

The Saxony-Anhalt gambling authority oversees the application process and has laid out specific conditions:

1. The application must be submitted in writing, along with email communication. It should include a statement about attached documents and estimated costs related to safety, economic efficiency, and social concepts.


2. The applicant must submit all required documents as evidence during the application process. These documents include:


• Voting rights and financial structure of the applicant


• Their authorized representatives


• A declaration stating they will not offer unlicensed gambling


• Administrative records such as clearance certificates


• A declaration of completeness


3. Operators within the EEA and EU can apply for a gambling license. If documents are not in German, the applicant must provide a certified translation along with the original.

Revised Tax Structure

IGT 2021 has also introduced new tax provisions. Taxes on online poker and video slots are now calculated based on the amount bet minus tax on virtual gaming machines (pending assessment). The total bet includes all expenses incurred by the player during a gaming session, including participation fees and wagers placed during the game.

Taxes have been raised to 5.3% from 5%, while everything else remains unchanged. However, this regime has faced criticism in the past for being too strict. Some member EU states believe that imposing high taxes may deter players from regulated platforms and lead them towards unlicensed ones.