Lawmakers in Stuttgart have approved the regulation of certain online casino games. This decision makes Baden-Württemberg the third German state to legalize state-run virtual blackjack and roulette. The decision follows similar measures adopted by Bavaria and Schleswig-Holstein in 2024. It also aligns with the German Interstate Treaty on Gambling, which came into effect in 2021.
The treaty gave individual states the authority to decide how to manage these offerings and create their own regulatory frameworks for online table games. Citing concerns that without legalization, residents would keep on using unlicensed offshore providers that lack player protections, Baden-Württemberg has now opted to permit and regulate virtual table games.
The approved legislative bill argues that failing to regulate online table games would expose consumers to illegal gambling platforms that lack oversight and player protection measures. The bill acknowledges that many residents of Baden-Württemberg already access these games by unlicensed operators. It poses risks to players and also deprives the state of potential tax revenue.
The legislation states that without regulation, people in Baden-Württemberg will likely continue gambling with illegal providers. These providers lack player protection measures.
It also emphasizes the need for uniform gambling policies across Germany. Additionally, it highlights the inconsistency of allowing similar games in other states but not in Baden-Württemberg.
The new regulation establishes a tiered tax system for online casino revenue. The government will tax monthly revenue up to €300,000 ($314,335.50) at 15%. Revenue between €300,000 and €750,000 or $785,838.75 will be subject to a 20 percent tax. The new regulation introduces a tiered tax system for online casino revenue. The government will tax revenue up to €300,000 ($314,335.50) at 15%.
