Swedish Government to Recover Taxes from Undeclared Income

Last year the Swedish government were investigating online poker players and gaming affiliates. The Swedish tax authorities have released some of their findings since the investigation began. The report shows that 230 investigations have taken place, ending on December 1st 2007. 47 of those 230 cases are suspected of tax crimes and have been reported.

The total amount of undeclared income is €44.5 million. €5 million of that total has been attributed to Swedish poker players and €27.3 million comes from poker affiliates and skins. According to a report from Gaming Intelligence Group, all players and affiliates that were found to have received funds that were not declared as income were living in Sweden during the time the income was earned.

Dag Hardyson, the Head of the Investigation, spoke to the Gaming Intelligence Group and said that of the total amount of money unclaimed by poker skins and affiliates; almost half of that figure comes from one operator.
According to the tax system in Sweden, the undeclared money could be claimed by the government at a rate of up to 57%. They can also make the person or operator pay up to five years in back taxes, also including an up to 40% penalty of the value of unpaid tax.

Hardyson stated: "The Internet is not a tax free zone. The Swedish tax authorities have the resources necessary to identify and analyze people and companies that are selling services on the Internet."