Hungary has especially been a topic of debate due to its speedy growth despite its late start to opening its doors to international operators. But its growth pattern is much easier to understand once you factor in the fact that with more sports betting operators setting up shop in the country, sites like Globusbet have become valuable resources where punters can learn more about bookies. The same goes for Portugal, whose open market allows both domestic and international sports betting operators to thrive. But while both of these markets may be growing fast, their legal environments are not the same. We lay out what makes them different and what this means for punters.

What Differentiates the Laws in Portugal and Hungary?

Each country determines the laws that govern the operations of sports betting operators, punters, and all other stakeholders in this industry. The idea behind these laws is to create a safe environment for citizens while also coming up with avenues through which the governments can generate revenue for use in public infrastructure. Since each country has different concerns based on the opportunities and threats that sports betting introduces, the laws thus differ.

So, how does this play out when it comes to Portugal and Hungary?

1. The Licensing Approach.

Portugal has an open licensing model that allows both local and international sports betting operators to apply for licenses through its Serviço de Regulação e Inspeção de Jogos (SRIJ), which also regulates their operations. While the market may be open to all operators, the licensing terms are quite strict.

Hungary is a tad different, as its market has historically been a state monopoly, such that international operators were not allowed to offer their services to players in the country. However, this changed two years ago, thus paving the way for external operators to earn operating licenses. As you would expect, the licensing criteria are quite strict, which has barred some operators from making an application. Even so, this change in the market has allowed punters to enjoy a much wider range of options and has boosted the sports betting industry to a great extent.

Comparing the two, Portugal may be ahead when it comes to a competitive market, but it is safe to say that Hungary is not wasting any time in catching up.

2. The Taxation Approach.

Punters in Portugal get to walk away with all their winnings as they are not subject to personal income taxes. As a result, many people have been able to turn their wagers into additional income, which goes a long way in helping them meet their financial needs. But does this also apply to Hungary? In this country’s case, the need to pay taxes comes down to the source of the winnings, as follows:

- Winnings from license operators. Just like with Portugal, punters who win wagers on licensed sites in Hungary are not expected to pay any income taxes on the same.

- Winnings from other sites. Where a player enjoys wagers on an unlicensed site and wins, the money they earn is considered to be part of their regular income. As such, they are expected to pay taxes on it.

For these reasons, players in Hungary are now turning their attention to licensed sites so as to protect their money.

3. The Site Restrictions.

Portugal is known for regulating and restricting access to unlicensed betting sites in order to protect their citizens while also ensuring that any sites operating in the region pay their duties and fees to the government. Does Hungary follow the same approach? Why, yes! Hungary has made it clear that operators offering their services in this way are contravening the law. However, since the government opened up its market in 2023, punters are still transitioning to licensed sites, and many unlicensed sites are still available. Expectations are rife that as more people become aware of the risks of these sites, the government will have a much easier time cracking down on the illegal sites.

From: https://quillbot.com/ai-content-detector

From: https://content-watch.ru/text/