ZAGREB, January 25, 2019 – Finance Minister Zdravko Marić said on Friday the only reason for introducing the possibility of blocking websites was the unfair competition of foreign online betting sites which pay no taxes on their services.
Unlike domestic online betting sites, international ones pay neither a business fee nor profit tax given that they are not registered in Croatia, and players, i.e. citizens, do not pay taxes on their winnings, Marić said at a conference on the impact of the tax policy on innovation and development.
That’s why, in the rules on the implementation of the General Tax Act, which is in public consultation, the Finance Ministry has proposed the possibility of blocking access to websites used for prohibited business operations and tax evasion.
“If someone has a certain business operation in Croatia, not paying any taxes and creating unfair competition, the Tax Administration can initiate blocking a certain IP address, Marić said.
Helena Schmidt of Deloitte, one of the organisers of the conference, said amending tax laws was not enough to change the economic situation and that young people would not stay in a country without prospects.
She said that in 2000 Ireland had one million less inhabitants than today and that it now had the youngest population in Europe. The net of a gross Irish salary of 2,000 euro is 1,700, she added.
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