The Department of Finance is making one more attempt to privatize PAGCOR casinos. According to the local media, the state could eventually enrich the local budget with approximately $5.8bn a year.
Carlos Dominguez, Finance Secretary, stated during the senate hearing that privatizing PAGCOR (Philippine Amusement and Gaming Corporation) as well as STL (small town lotteries) would become a significant source of revenue to the state treasury.
According to Dominguez, 3 years ago they submitted a proposal. However, no progress has been made so far.
In his remark, the senator emphasized the conflict of interest since PAGCOR is at the same time a gaming operator and regulating authority.
POGO shutdown due to tax violations
One more severe step regarding the gaming industry was shutting down POGO (Philippine Offshore Gaming Operator) for failing to pay the proper amount of taxes.
It should be highlighted that POGO is the 2nd largest operating gaming company in the Philippines and employs over eight thousand workers.
According to media reports, the Bureau of Internal Revenue conducted a raid and closed the Great Empire Gaming and Amusement Corporation due to the fact that it had not managed to register for VAT.
Crackdowns on offshore operators for not complying with various areas of law have been already continuing for a while. The PAGCOR representatives said that the body would stop issuing POGO licenses until the industry review is completed.
As mentioned earlier, the President of the Philippines decided to change his opinion regarding online gambling operations.
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