Greek regulator seizes operator’s bank account over tax dispute

Garance Limouzy July 17, 2024

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Greek regulator seizes operator’s bank account over tax dispute

The Gaming Supervision and Control Committee (EEEP), the Greek regulator, has decided to seize Betshop’s bank account due to a tax dispute.

€500,000 fine

In October 2023, the Hellenic Gaming Commission (HGC) fined Betshop’s parent company, B2B Gaming Service Malta Ltd, €500,000. This was one of the highest fines ever imposed by the Commission. B2B had failed to submit required tax information to the independent authority. The absence of tax information could have even allowed the HGC to revoke the operator’s license.

Arbitrarily decision?

However, the fine was never paid, and Betshop appealed the decision. The taxes in question date back to the years 2013 and 2014. “The tax administration decided that we should have withheld more tax from our customers. The authorities are looking for money from us, which we have not collected from our customers,” declared Betshop’s representatives.

Betshop also claims that the Hellenic Gaming Commission arbitrarily calculated the amount the company would owe to the Greek tax collector. However, it disagrees with these numbers. Betshop also explains that it tried to communicate with the authorities, but any conciliation attempt was unsuccessful. The EEEP, in return, explains that it has taken “every necessary action to safeguard their legitimate interests.”

Company shuts down operations

Nine months after the fine was issued, the tax authorities decided to seize Betshop’s bank account, forcing the company to shut down all operations. Betshop released a press statement that reads: “Our Company is in the unfortunate position to announce that, due to the sudden and abusive seizure of its customer service bank account by the tax authorities, we are forced to suspend operations until the issue has been rectified.”

“Despite the fact that the court decision of the Council of State is pending, which will decide the legality of the tax assessment against us, and also disregarding the fact that the competent services of the AADE have already recognized as correct and legal the way of calculating the tax payable, the tax administration has imposed a complete electronic seizure of the customer’s bank account, with the result that we have absolutely no practical possibility of continuing our operation, unable to carry out transactions with the users of the online services.”

However, the Greek regulator declared that there is a “serious operational problem” with Betshop.