Swedish govt investigation to propose scrapping online gambling monopoly-source

STOCKHOLM, March 29 (Reuters) - Sweden’s state gambling monopoly should be largely scrapped and replaced with a system where online gambling companies are licensed and taxed, a government-appointed investigation will propose this week, a source familiar with the matter said.

The special investigator leading the review, Hakan Hallstedt, will recommend that online gambling firms pay a tax of 18 percent on their gross gaming revenue, said the source, who had reviewed the proposal ahead of its presentation on Friday.

The proposal would aim to ensure that the percentage of licensed and tax-generating gambling amount to 90 percent of the Swedish market.

By scrapping the decades-old monopoly, the centre-left government hopes to bring foreign-based online gambling companies such as Kindred Group and Betsson , which operate from outside Sweden and have taken a growing share of online betting, under its regulatory sway.

Reporting by Johan Sennero; editing by Niklas Pollard and Johan Ahlander