The Gibraltar Betting and Gaming Association (GBGA) has won a significant victory in its ongoing fight against the UK’s Point of Consumption tax, with the High Court of England and Wales ruling today that the new legislation raises a number of issues relating to European law that must be referred to the European Court of Justice (ECJ).

In a judgment Tuesday, the UK High Court said that important issues concerning the legality of a tax being imposed on overseas gambling operators have to be assessed by the ECJ, the highest court in the EU legal system.

Should the tax regime be found to be in breach of European law, the UK's HM Revenue and Customs (HMRC) could be ordered to repay all tax collected since the new regime came into force, as this would have been taken illegally.

The GBGA was represented by Olswang, whose head of public law Dan Tench said the case “raises important questions for the future of online gambling in the UK,” and could have far-reaching consequences.

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