Connect with us

Hi, what are you looking for?


House to adopt Senate version of POGO tax bill, Salceda says

Philippine-based companies that offer online gambling services to offshore markets, such as China, fueled office market growth in the country last year. — REUTERS

The House of Representatives will adopt the Senate’s version of the proposed measure taxing Philippine Offshore Gaming Operators (POGO), a key lawmaker said on Friday.

“The House leadership, at my recommendation, will adopt the POGO tax regime approved by the Senate,” Albay Rep. and House Ways and Means Chair Jose Maria Clemente S. Salceda said in a statement.

This means the bill, which was certified as urgent by President R. Duterte, will be no longer be reviewed by a bicameral conference committee. The Senate version of the bill can be sent to Malacanang after Congress opens its third and last regular session on July 26.

Mr. Salceda sent a letter House Speaker Lord Alan Q. Velasco on July 19 where he recommended the adoption of the Senate version of the POGO tax bill.

“We were the first draft, and they made very few modifications. So, recognizing the respect that the Senate extended to the House version, we will adopt their changes, which in my view are acceptable,” he said.

Mr. Salceda noted the Senate’s version only contains “minor reworkings” of the House bill, and does not have any differences in tax rates and tax bases.

“POGO taxes will raise P13.4 billion in its first year, and P176.9 billion in five years,” the lawmaker said.

Both versions impose a 5% tax on gross gaming receipts for offshore gaming licensees (OGLs) and a 25% tax on gross income for nonresident aliens working for POGO service providers.

“The Senate version slightly differs in style, imposing a minimum monthly tax of P12,500, which would have the same revenue consequence,” Mr. Salceda said. The House version required taxes for POGO employees to be remitted on a quarterly basis or in advance but with a refund mechanism in place in case of excess taxes.

The Senate version also requires every alien employee of POGOs to have a Tax Identification Number (TIN), imposing a P20,000 fine for each one that does not have a TIN.

Mr. Salceda said under the Senate version, “non-gaming income is to be taxed at 25% of taxable income, akin to regular corporations.”

He said the Senate version also “removes the provision that offshore gaming licenses currently registered with other special economic zones will pay at their current tax rate or 5% of gross gaming revenues, whichever is higher, and instead makes the 5% rate uniform.”

Also, the Senate version prevents the Aurora Pacific Economic Zone and Freeport from issuing new POGOs licenses. It also transfers the regulation of POGOs currently registered in the economic zone to the Philippine Amusement and Gaming Corporation.

“On top of the tax provisions, we also instituted stringent measures to monitor their personnel, supervise their operations, and punish them for violations of the law. By making POGO taxes a part of the Tax Code, they become subject to all the applicable penalties in the Code, including tax evasion,” Mr. Salceda said. — Kyle Aristophere T. Atienza

Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!



Official White House Photo by Adam Schultz WASHINGTON — A first in-person meeting of the leaders of the Quad group of countries — the...


PIXABAY UNITED NATIONS — Faced with what they see as an existential threat, leaders from low-lying and island nations implored rich countries at the...


StackLeague is now gathering over 6,000 developers, software engineers and programmers all across the Philippines who share the same interest in competing while also...


Insights to Inspire aims to spark ideas that empower businesses to pursue bigger goals through data and information. Read our insights on current issues...


By Luz Wendy T. Noble, Reporter THE PHILIPPINE central bank kept the benchmark policy rate at a record low on Thursday, as it tries...


BW FILE PHOTO By Beatrice M. Laforga, Reporter THE NATIONAL Government’s budget deficit tripled to P120.9 billion in August from a year earlier after...

You May Also Like

When people envision technology overtaking society, many think of The Terminator and bulletproof robots. Or Big Brother in George Orwell’s Nineteen Eighty-Four, a symbol...

Financial Advisors

Stock Markets9 hours ago (Jul 02, 2020 04:45AM ET) (C) Reuters. ROME (Reuters) – World food prices rose in June to post their first...


SAN FRANCISCO — The spread of the coronavirus has meant feast or famine for technology start-ups. While many are cutting staff and slashing costs...


OAKLAND, Calif. — Jack Dorsey has won plaudits for his corporate activism during the coronavirus crisis, taking on President Trump in his role as...

Disclaimer: Respect, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2021 Respect Investment. All Rights Reserved.

Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!