Gambling Industry Overview in Poland
The following approaches will be presented
- Gambling legislation in Poland
- Gambling authorities in Poland
- Online casinos in Poland
- and more
After the break-up of the USSR in 1991, the gambling market in Poland almost disappeared after flourishing for several years without being strictly regulated by the legislation. Over the years, the country has managed to get out of the communist regime and become more democratic, which also resulted in it becoming a fully-fledged member of the European Union in 2004.
The more democratic principles embraced by the country also resulted in expanding the gambling legislation of Poland, including online gambling. Still, there are some restrictions in the country’s laws, which have been attached from both the local citizens and the EU Commission.
Overview
After recovering its gambling market, the Polish Government passed a new piece of legislation in 2010. The new law was considered too strict due to the fact that it still allowed gambling in the country, but a number of very tight restrictions were imposed.
The changes from 2010 was primarily focused on land-based casino operators. Only a year later, they were followed by further gambling legislation, which mainly targeted online gambling operations.
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Currently there is a total of 25 casinos that operate over the territory of Poland. The poker rooms are quite small, but the live poker market is still legal and regulated.
Legal Framework
The country has gone a long way when it comes to gambling legislation. For an extended period of time there was no regulation for both land-based and web-based casinos. The only restrictions imposed in the beginning, were related to the rules about owning a betting venue and the types of games that could be offered there.
The contemporary gambling legislation of the country is not considered to be corresponding to the policy of the European Commission since Poland is a member of the European Union. Over the last few years, the Commission has been actively trying to convince some of the Union member countries to make their gambling laws more relaxed, especially the ones which have set a monopoly over gambling within their borders.
The regulations of Poland have been considered as too restrictive when it comes to the licenses issued by the local competent authorities.
Polish gambling industry first stayed unregulated for a number of years, until 1992, when several laws were passed. They, however, were even tighter, especially when it comes to opening of new casinos. Later, the same approach was used by the country’s Government in regard to online gambling.
The situation changed in 2010, when Poland passed quite a restrictive piece of legislation, followed by an amendment in 2011. Two laws opposing to online gambling were launched. The rules subsequently changed; the current online monopoly and licensing distinctions are explained below. Up to date, Poland operates under a licensing system for online sportsbooks. Normally, the licenses of locally-based operators are renewed every six years.
The Polish Gambling Act not only imposed large restrictions over the land-based casinos on the territory of the country, but also placed tight regulation on the entire industry. The casinos were restricted to the most populous areas, but only one gambling venue was permitted in each district. There was also a maximum number of gambling tables and machines allowed to be present at a casino.
Thanks to the new law, gaming machines are subject to location and operator restrictions; the current framework also permits state-monopoly machine halls outside casinos.
The gambling legislation of Poland also provides severe penalties for breaking the laws. Still, they are rarely enforced by the country’s authorities, which has benefited for turning the online gambling in a huge industry here.
As long as the local sports betting market is concerned, it is currently dominated by a total of three operators – Professional, Totolek and STS. The latter is considered to have managed to stand out among the three of them, thanks to the extensive investments from the UK-based betting operator Stanleybet.
The winnings generated by sports betting operations are currently subjected to 10% taxation in Poland. However, up to date there is no legal framework that is related to the taxation of the players’ winnings generated on foreign websites.
Online Gambling
Poland’s Ministry of Finance explains the distinction between the state monopoly and licensed betting in its official overview of Poland’s gambling system. Online gambling, other than betting and promotional lotteries, is covered by the state monopoly operated by Totalizator Sportowy. The Ministry also states that people located in Poland must not participate in online gambling offered by operators without the required Polish authorisation. An overseas licence or a Polish-language website does not substitute for that authorisation.
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