Philippines Department of Finance Considers Tax Amnesty for Gaming Sector

Key points:

Philippine Finance Secretary Ralph Recto discussed the possibility of introducing a tax program for the country’s online gaming industry.
He proposed increasing the fees paid to PAGCOR as one potential measure.

The laws for online gaming in the Philippines are changing. Finance Secretary Ralph Recto said the Department of Finance is thinking about a General Tax Amnesty program. This program would come with more rules for online gaming in the country.

The move comes after reports that the Philippine Senate will lead an inquiry. They will look into how online gaming affects citizens.

The effort is led by Committee Chair Sen. Erwin Tulfo. He, along with the Catholic Bishops’ Conference of the Philippines, wants a full ban on online gaming in the country.

Recto explained that, while there are currently no new tax proposals, refined measures “are awaiting enactment.”

He said that a General Tax Amnesty and Online Gambling Tax law would be different from the bill Congress vetoed. He hopes it will be passed by the end of the year.

“But we’ll have to have it approved yet with the President or in the Cabinet,” he said.

It’s good to know that other financial groups in the Philippines are taking action. The Bangko Sentral ng Pilipinas is creating rules to reduce online gaming risks

He also agreed with the suggestion that Government-owned and controlled corporations should not be allowed to invest in online gaming.

He suggested a raise in PAGCOR fees and charges for online gaming as a way to tackle the issue, saying: “I’d say today if the rate is 30%, is it possible to bring that up to 35, 40, so on and so forth. But we’ll consult with PAGCOR on that as well because they will have to implement it.”