Betfair Premium Charge Question

Dunder · 12-19-09, 06:49 PM

Yes, it is calculated on activity from Monday 0000 to Sunday 2359 (UK time) and deducted from your account on Wednesday.

Just as a heads up they will normally waive it, if it is the first time you are liable.

chance · 12-19-09, 06:53 PM

Thank you Dunber.

Do you know what "Other Charges" refers too on the personal weekly Premuim Charge Guide.

Stumpage · 12-19-09, 06:59 PM

Yeah, Dunder's spot on, chance. You recieve a bit of a "grace period" for the first $1,000 that you can be charged on, but then you're fair game.

The link below will allow you to see where you stand in terms of your Premium situation. It is updated every Tuesday morning:

https://account.betfair.com/regpay-myaccount/premiumcharge/summary.html

Dunder · 12-19-09, 07:10 PM

Originally posted by chance

Thank you Dunber.

Do you know what "Other Charges" refers too on the personal weekly Premuim Charge Guide.

AFAIK the only item that would appear in "other charges" are data access charges.
You would only be liable for these if you are requesting data 10 times per second or more.

BrianLaverty · 12-20-09, 12:11 AM

don't play at betfair since im not euro... but can anyone explain what this is?

chance · 12-20-09, 03:15 AM

Betfair Premium Charge is basically a 20% weekly tax on your winnings. Long term winners get stung!!!!

Dunder · 12-20-09, 07:05 AM

Originally posted by BrianLaverty

don't play at betfair since im not euro... but can anyone explain what this is?

To cut a long story short, the Premium Charge ensures that you pay at least 20% of your gross profits to Betfair over the lifetime of the account.

It primarily affects traders/market makers. There are some allowances against it but it is essentially a tax on success which Betfair has managed to get away with due to its strong market position.

trumpdown · 12-20-09, 08:12 AM

So is this how Euro punters get taxed?

I like how an exchange can make their own tax bracket. Nice for them to be a monopoly. Do you think if Matchbook had other currency to play in, more Euro's would join?

Dunder · 12-20-09, 08:29 AM

Originally posted by trumpdown

So is this how Euro punters get taxed?

I like how an exchange can make their own tax bracket. Nice for them to be a monopoly. Do you think if Matchbook had other currency to play in, more Euro's would join?

These was another thread where a few Europeans mentioned that they would join Matchbook if the had EUR/GBP accounts, but I doubt it would make a significant difference TBH.

Even though I don´t like the Premium Charge, I do understand the concept (bear in mind that very few regular bettors will ever pay it - it is very much aimed at traders). I do however, hate the complexity of the calculations. I spend waaaaay too much time plotting ways to reduce my exposure to it.

SPECULATOR 13 · 12-20-09, 08:36 AM

Originally posted by chance

Betdaq are starting to get their act together. Thank God.

Chance, i am not contradicting what you are saying in anyway,shape or form,i am just wondering old chum why or what make you think they have?
I am preparing as early as now my return to serious sports speculation for next September by allying all my "ducks in a row".
And the most important aspect of that preparation is to find a couple of Xchanges/books to complement matchbook asap.I am sickened by the thought of having to deal with these betfair f.ck faces but what can one do if Betmaker or betphoenix cannot get off the ground.Betdaq must,i repeat must accept and cater too U.S. action,otherwise they will fail.

Jontheman · 12-20-09, 09:34 AM

Sorry to disagee there Speculator. USA is one of the most diffucult markets to service with the legal risks and the high costs of transactions using archaic funding methods. To an exchange whose main offering is soccer and who is used to players funding instantly and cheaply through debit cards they are an irrelevant backwater.

chance · 12-20-09, 09:48 AM

The big enhancement Betdaq has done in the last month is to remove all fees for moneybookers and Neteller. No fees depositing and withdrawing equals increased liquidity. Very significant step.

Betfair better watch out. If they don't get rid of the Premium charge they risk their entire market position.