In 2006, Italy declared a partial ban of poker online. This decree made it illegal for the ISP to the Internet to allow access to the Italians to "off shore" online poker sites.
Until today, only poker tournaments were allowed on Italian online poker site. Since the law passed on February 3, the cash games are now legalized. The bad news is that they will be subject to a 20% tax on the gross profit.
The maximum buy-in for the time being has been set at 250euros (it was formerly attached to 100euros) and you can not bet more than 1000euros per session. Many constraints at the moment, but it's still a step in the right direction.
An exception to this rule is the gains you have made in a multi-table tournaments. If you win a sum in a multi-table tournament, you can use it to bet in cash game.
It is estimated that this new will result to double the Italian online gaming turnover by 2012.
Later today will be known the terms so an Italian operator can propose any cash games online legally. A licence will be awarded to operators meeting all Italian standards.
Discuss this news on PokerCollectif forums: LEGISLATION: Decree on the cash games in Italy