New French gambling taxes have online poker players staging protests very similar to the Tea Party grassroots movement within the US.

New regulations imposed by the French government in opening the country's online poker market include a vital tax. Some Internet poker sites are crying poverty and passing the fee to players, resulting in organized protests along the lines of the Tea Party gatherings within the US.

France will collect a 2 percent tax on cash games, tournaments, and re-buys. Even hands that feature folding throughout to the large blind might be taxed, meaning in those cases the unlucky player within the big blind seat wins the hand and doesn't even collect a whole small blind for his effort.

Operators comparable to PokerStars are passing the tax along as an additional 2 percent rake. Spokesman for online poker sites say the additional rake is necessary, claiming the sites are losing money on a gentle basis under the brand new French gambling rules.

But players aren't quietly cooperating. Instead, semi-organized sit-ins are occurring, by which players check in to PokerStars and other online poker sites after which occupy seats while sitting out hands.

Blocking the seats at cash game tables is costing the poker operators hefty income. Players say the sites brought it on themselves, because the additional rake can mean players see their selection of hands available for a given buy-in drop by up to 1 / 4 of the total.

A report by eGaming notes that Sweden actually followed a plan lowering rake to drive tax collections. The resulting increase in players greater than made up for the lesser take per hand. There's no word yet, however, that French officials might even see the sunshine and help online poker sites escape from between a rock and a difficult place.

Published on July 12, 2010 by MattMiller

Read More... [Source: Poker News]