Obtain Isle of Man Gaming License
The Isle of Man is a British controlled territory. This offshore is considered attractive for gambling license. There are several main advantages why this island is common for the registration of gambling activities. This territory is considered prestigious and has a low level of taxation. There is a single license for all types of games.
Features of the license
A license issued on the Isle of Man combines all gaming as well as Binary Options.
Gambling licenses on the Isle of Man are subdivided into:
- Basic (Full License).
Full license allows the company to earn on all available games independently and sell sublicenses to other companies wishing to enter the gambling market in Europe under the name of the existing company.
A sublicense allows to operate legally, but on behalf of another, larger licensed company.
Isle of Man licenses cover all of the following activities:
- P2P games (like poker and bingo).
- Casino games, including slots.
- Live dealer games.
- Betting platforms.
- Financial exchanges.
- Binary options.
- Cyber sports betting.
- Lotteries, including messengers and resellers.
- Mobile, desktop and tablet versions.
Full or first license can be obtained by firms that develop themselves in this industry and buy software, conduct advertising activities. After obtaining such license it is possible to get income from available games and sell sublicenses.
A sublicense is a document that allows for the legal operation of an online casino on behalf of another, larger firm. This type of permit is most relevant for newcomers. In the future, there is the possibility of obtaining a full license. A network license allows the owner of the basic permit to cooperate with other operators on the basis of an agreement.
Pluses of registration of the permit
Online gambling business is actively developing. To organize a casino, it is required to obtain the appropriate permit. The government of the island has a positive attitude to the development of gambling.
The main advantages of the territory to register a business related to gambling:
- The jurisdiction is prestigious and respectable;
- It is possible to legally optimize taxation;
- Laws are transparent and clear;
- The country has a positive attitude towards licensees;
- It is possible to obtain a single permit for all games;
- Permits can be obtained in a short period of time;
- It is supposed to be possible to sublicense.
Despite the many advantages of obtaining a license, the procedure can be quite complicated. Please contact our specialists at IT-OFFSHORE to gather all the necessary documents.
Basic requirements and documents
To get a license, you need to comply with a number of requirements. The applicant must have a company and an office in the territory. The company must have at least two directors. They must have experience with finance and the necessary education.
- A detailed business project must be drawn up and submitted;
- Platform servers must be in the Isle of Man;
- Registration of an account with a local financial institution will be required;
- Players will need to be familiarized with the regulations of the territory.
A number of documents need to be collected. These include proof of criminal record of the company owners, copies of identification documents certified by a notary, utility bills, a detailed business development plan, information on the software used. Services can be provided only by persons of legal age.
Requirements for the license applicant:
- Presence of a local office on the Isle of Man.
- Presence of minimum 2 local directors.
- Local MLRO.
A licensed company is also required to:
- Preparation and maintenance of all regulatory documentation.
- Completion of monthly tax returns.
- Preparation of annual financial statements and audit.
- Ongoing administration of the company.
Timeframe: 3-4 months.
Permit application procedure
To obtain a license to operate, you will first need to prepare all the documents and apply to the inspection. It is necessary to conduct a detailed analysis of the technical base, hold a hearing on the work of the new firm.
After the license is issued, testing of the gaming platform is required. The application for a license is carefully studied, an analysis of the business and the submitted documentation is carried out. On average, the processing time of the application is about 2 months.
The Isle of Man is one of the most popular territories for gambling business development. Online casinos are considered a profitable and lucrative line of business. Registration of the permit gives the opportunity to legally conduct entrepreneurial activities.
Peculiarities of taxation
Before obtaining a gaming business permit, the nuances of taxation in the Isle of Man will need to be carefully studied. They depend on the income figures of the structure.
The following tax rates apply to financial companies on the Isle of Man:
0% - corporate tax for residents
0% - on capital gains
0% - dividends, royalties.
The gambling fee on the Isle of Man is calculated based on profits, not turnover. The state fee is paid at either "rates minus winnings" or "retained earnings," depending on the type of gaming activity.
Gaming fee rates:
If the income is up to £20,000,000 per year, the fee will be 1.5 percent. If the income is between 20 and 40 million, the rate will become 0.5 percent. If the income figure is from 40,000,000 - the rate will be 0.1 percent.
There is no requirement to contribute to the authorized capital of the company on the Isle of Man.