Spanish General Directorate For Regulation of Gambling (DGOJ)

Gaming Act in Spain

In the past, Spanish online gambling mirrored Australia’s approach where gambling within Spain by Spanish players was illegal. However, there were no regulations for Spanish players engaging in online gambling at international casinos

However, in 2011, Spain implemented the Spanish Gaming Act (Ley 13/2011, de 27 de mayo, de regulación del Juego), which remains the current regulatory framework.

While there is now an Act in place, the system is not flawless. Spain consists of 17 autonomous regions and 2 autonomous cities, all overseen by a Federal body. This setup makes the legislation complex, particularly regarding the required licenses at both local and federal levels:

• Online games operating at the federal level require a federal license or authorization. This federal license allows operation in each region where the game is available.
• Games played within a specific region need the relevant license from that autonomous region.

Licensing

In Spain, the law doesn’t rely on a single regulatory authority. Instead, each of the 17 autonomous regions modifies the laws before implementation. This approach has led to varied lists of permitted casino games in different areas, influencing the games providers can offer.

An online casino can secure both regional and federal licenses under the Gaming Act. However, most operators opt for a Federal license, often seen as overriding regional licenses despite the autonomy of the regions.

To apply for a license, operators must meet rigorous criteria, including providing a Spanish certificate of incorporation and possibly details of permanent residency in Spain. Financial guarantees ranging from €500,000 to several million Euros, depending on the license type, are also required. Operators must also present Anti-Money Laundering plans, fraud prevention documents, operational plans, and agreements with necessary third-party suppliers.

Taxes

The DGOJ has specific online gambling fees and taxation laws, detailing various gambling venue types:

• General casino games, such as online slots: 25% of gross gaming revenue.
• Fixed-odds betting on sports and horses: 25% of gross gaming revenue.
• Sports-based betting exchanges: 25% of gross gaming revenue.
• Pool betting on sports and horses: 15%-22% of total income, not gross gaming revenue.
• Other games: 10% of the value of any prize awarded.

Operators are also responsible for fees ranging from €10,000 to €38,000 for licensing approval and certification. Additionally, an annual fee for regulatory activities is calculated at 0.075% of the previous year’s total annual turnover.

Spain imposes substantial fees, especially those based on turnover rather than gross gaming revenue, indicating a potential lack of understanding of online casino operations.

Benefits to Online Gambling Operators

Despite the high fees, Spain’s gambling market is financially rewarding. Recent legislation has seen an uptick in activity, with 2021 gaming revenues surpassing €800 million.

Spain’s strict stance against illegal gambling includes hefty fines, ranging from €1 million to €50 million, and a four-year license application ban for offenders. Existing license holders found in violation face shutdowns and a four-year service ban.

Benefits to Players

The DGOJ prioritizes player protection, handling all disputes under Spanish law, and allowing locals to gamble confidently.

The Advisory Council on Responsible Gaming (CAJR), established and restructured in 2018 by the Spanish Minister of Finance, focuses on the well-being of Spanish gamblers.

Top Online Casinos Licensed in Spain

Here are the top 3 licensed online casinos in Spain:

• 888: Founded in 1997, 888 Casino stands as one of the world’s largest online gambling brands, known for regulated markets, customer service, and swift withdrawals.
• LeoVegas: At LeoVegas, players can enjoy excellent online casino games and a generous welcome bonus, along with the option to bet on their favorite sports teams.
• Casumo: This renowned Swedish brand offers quality online casino entertainment, featuring a vast game selection and daily promotions suitable for every player. Check out our Casumo casino review for more details.