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Munich Personal RePEc Archive

On the effect of taxation in the online sports betting market

Vidal-Puga, Juan (2016): On the effect of taxation in the online sports betting market.

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Abstract

We analyse the effect of taxation in the online sport betting market. This market is characterized by its negligible marginal costs. Taxation can be on volume (General Betting Duty) or on gross profit (Gross Profit Tax). We model the two most popular online sport betting bets: fixed-odds and spread, as compared with another traditional sport betting: parimutuel.

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