Until not so long ago, the legal environment in Italy was not exactly the most gambling friendly one. In fact, gambling and especially online gambling had been illegal until major legal changes were ushered in, in 2006 as a direct consequence of infringement proceedings started in 2003 by the European Union against Italy. While the only authority allowed to issue gambling and online gambling licenses in the country is still the state, through its AAMS (Amministrazione Autonoma dei Monopoli di Stado), in 2006, sweeping changes were introduced to the laws, changes which have effectively liberalized the Italian gambling and online gambling market.
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The 2006 changes in legislation ushered in a new era for real money skill-based games which have been effectively legalized. A much more contentious issue has been addressed as well: the Italian gambling and online gambling market has been opened up to operators from the European Union and the EFTA, thus putting an end to the monopoly enjoyed by local operators.
The new license standard has been opened as well in 2006, bringing with it a reorganization of the framework by which brick-and-mortar gambling establishments in the country worked in, and the possibility for online gambling operators to offer their services legally.
The next huge gambling-related reform came in 2007, when the Finance Act effectively legalized Texas Holdem.
The 2007 version of the law asked for Texas Holdem to be played in a tournament format, while in the same time it outlawed other forms of poker as well as video poker, deeming these games as based on pure luck with no skill factor involved whatsoever.
The really significant reforms game in 2011though, through the Comunitaria decree, which set the legal framework for poker cash games as well as casino-based gambling. While the laws governing live poker tournaments and casino gambling are still rather strict within the country, they do in fact make it possible for players to withdraw large sums, provided they fulfill certain conditions and provided they do it through a bank account. Through the above said law, the tax regime governing gambling activities has been overhauled as well.
As far as online gambling and online poker are concerned: foreign operators have been able to offer real money services within a legal framework since March 2010. In order to be allowed to offer such services to the Italian public, online gaming operators have to acquire a license from the above said State Monopoly, and to obtain such a license, they obviously need to fulfill a set of rather stringent requirements.
Of course, despite the EU’s objections, there have been attempts on the part of Italian authorities to lock foreign operators out of their market for good, the latest one of which has been shut down in September 2013, when the European Union ruled that Italy could not block foreign online gambling operators.
Despite all legal the reforms and the liberalization of the markets, online poker is still struggling in the country. The limited player base which currently only allows players from Italy to go up against their fellow countrymen, is simply not viable, making the joining of compacts with other European countries the only possible way out for the besieged industry.