Gaming operators paying back taxes
After the delay in enforcement of a sliding scale tax implemented last July, Minister of Tourism Dionisio D’Aguilar said yesterday that gaming house operators are paying two months’ worth of taxes each month in order to catch up with back taxes by the end of the fiscal year.
“For the period [of] July through December 2018, the gaming houses are now paying those taxes,” D’Aguilar told reporters outside Cabinet.
“So, in [February] they will pay for January (2019) and July of last year.
“Every month, they will pay [for] two months, in essence, to catch up so that by the end of the fiscal year everybody will be current.”
It is still unclear the exact amount the government has been paid thus far.
During the budget communication last May, the government announced a sliding scale tax on gaming house revenues and a five percent stamp tax on deposits.
However, after widespread backlash from gaming operators who claimed that the new taxes would be detrimental to their businesses, and a lawsuit, the government agreed to delay the enforcement of those taxes.
In February, the government announced that it had reached an agreement with gaming house operators which would result in a collection of $35 million annually from the sliding scale tax on net taxable revenue and $15 million from a tax on winnings as a result of lottery bets.