Members of parliament have reversed their initial ethical objections to increasing football betting tax, following intense lobbying from football clubs and officials.
According to philenews sources, some MPs have demanded the controversial bill, which would raise betting tax from 3% to 4.5% of net earnings to cover football clubs’ tax debts, be brought back to the parliamentary Finance Committee.
The committee will discuss the bill next Friday, potentially with the Finance Minister, Cyprus Football Association (CFA) leadership, and the Commissioner for State Aid Control in attendance.
The bill has caused divisions within parliamentary groups.
While some MPs oppose using taxpayers’ money to cover football clubs’ debts, particularly given their substantial budgets and non-compliance with existing repayment schemes, others cite football’s importance to Cypriot society and electoral considerations.
The legislation must be approved before year-end, when Tax Commissioner Sotiris Markides’ ultimatum expires for clubs to settle new debts and begin paying instalments on their €35.6 million debt agreement with the Finance Ministry.
CFA General Secretary Phivos Vakis intervened following reports of potential legal action against non-compliant clubs.
He acknowledged the Tax Commissioner’s duty to set deadlines but argued that football deserves a share of betting revenues, which he says are generated by clubs’ product.
