Esports Non-Profit Status Once Again Not Considered

In today's decision of the German government on the Tax Development Act, the proposed law for the non-profit status of esports, the recognition of esports was once again not taken into account. The ESBD as well as the game association have criticised the coalition and appealed to the members of the Bundestag.

At the beginning of its term, the governing coalition promised to recognise esports a non-profit status (in German: Gemeinnützigkeit). Despite party-wide approval and inclusion in the coalition agreement, this promise has not yet been fulfilled and is in danger of being broken, as the recognition of esports was once again not taken into account in today's decision by the federal government on the Tax Development Act (formerly the Annual Tax Act), the originally intended law for the non-profit status of e-sports.

"We have heard several times from the governing parties during this legislative period that the non-profit status for esports will definitely come, as it is clearly stated in the coalition agreement. Instead of implementing the supposed consensus, the red-yellow-green coalition keeps putting us off. This has to stop," demands ESBD chairman Christopher Flato. "Esports, so often applauded by politicians, is still being denied club-based development. The international environment is constantly evolving and even in organised sports, with the IOC at the helm, a rethink has begun. In Germany, we have been discussing a minimal legal adjustment for years, which everyone wants, but surprisingly no one is able to implement."

Felix Falk, Managing Director of game - the German Games Industry Association: "The world of esports is evolving rapidly. The IOC has announced the first Olympic esports competitions. But there is still a political stalemate: the current Tax Development Act still lacks the non-profit status for esports clubs that all parties have long promised. This hinders the development of valuable club life and reduces Germany's medal chances in Olympic esports competitions. We call on the members of the German Bundestag to amend the law now."

As the association of organised eSports, the ESBD (eSport-Bund Deutschland) stresses that the people who suffer are the dedicated volunteers in esports clubs who work for esports in Germany in their spare time. "It is well known that these clubs do responsible youth work for the common good and also promote media literacy, social interaction and personal development," says the ESBD. The last ray of hope is the upcoming debate in the German Bundestag on the Tax Development Act. "We see the supporters of esports in the coalition parties and urge them to find a common path. This is not only about esports, but also about the credibility of this federal government," said Flato. For many months, a joint implementation proposal from the ESBD and game - Verband der deutschen Games-Branche e.V. has been on the table. The ESBD is calling for improvements in the parliamentary process and is appealing to the members of parliament to finally reach an agreement.

Never miss anything from the German, Swiss and Austrian games industry again: subscribe for free to our Daily newsletter and get all news straight to your inbox.