The boss of the regulator of the Philippine Amusement and Gaming Corporation (PAGCor) is said to have spoken out against the idea of granting limited tax breaks to companies holding a Philippine offshore gaming operator license (POGO).
According to a report from Inside Asian Gaming, Andrea Domingo (pictured) is president and CEO of the state organization and has expressed her antagonism as lawmakers continue to consider a measure to introduce a unified tax system for all POGO licensees. However, the source explained that the final adoption of this proposal was recently delayed after local iGaming companies launched a meter that would allow them to benefit from special exemptions for basic operations in one of the many Special Economic Zones. of the country, such as the Subic Bay Freeport Zone or the Clark Free Zone.
In a recent interview with the Philippine Daily Inquirer, Domingo reportedly proclaimed that she was against the new compensation and instead preferred a system that involved each of the country’s POGO licensees paying the same tax rate with ‘all policies, regulations and laws‘applied evenly. The former lawmaker is also said to have said that “special means special‘and that such a two-speed situation cannot exist’to the government‘.
Inside Asian Gaming reported that the original proposal contained in House Bill 5777 suggests that POGO licensees in the Philippines be exempt from all existing deductions, fees and franchise fees preferably to a general tax of 5% on gross gaming revenue. The bill presented at the end of last year by the representative José ‘Joey’ Salceda further seeks to institute a 25% “withholding tax” levy on all foreign nationals employed by these companies earning an annual salary of more than approximately $ 12,400.
Defense Against Deception:
The Government of the Philippines President Rodrigo Duterte believes that the envisaged tax regime could allow the Asian nation to contribute approximately $ 935 million in annual income. The controversial leader is also allegedly particularly supportive of a provision in the proposed legislation which establishes a foreign employee “minimum monthly deduction” duty a little more $ 248 serve as a bulwark against any potential for underreporting of wages.
Inside Asian Gaming reported that the Philippines is eager to start raising funds in the wake of a coronavirus pandemic that has so far been responsible for the deaths of more than 27,000 people in the country of some 109 million people. As such and Domingo reportedly told the newspaper that the POGO tax regime proposed by Bill 5777 is “”fair and good‘and would benefit the government as well as the general public and local iGaming businesses.
In related news and Inside Asian Gaming used a second report to explain that PAGCor recently saw its second quarter revenue from its gaming operations decline 19.9% year-on-year to around $ 293.7 million. The Manila-based organization reportedly attributed the decrease, which was 14.2% lower on a sequential basis, to the many restrictions that the government has put in place following the onset of the coronavirus pandemic.
In addition to being the country’s gaming regulator, PAGCor is believed to be responsible for some 19,900 slot machines as well as over 2,000 table games offered through its six Filipino Casino-branded sites and a chain of approximately 30 satellite properties spread across the Philippines. The financial results for the three months up to the end of June were nevertheless supposed to be just good enough to push the organization towards profit although its $ 1.6 million The tally was 46% lower than the previous quarter, even though it was an improvement of over 105% from the same period in 2020 due to lower spending.