Cambodia Casino Tax Revenue Up 33% in 2015

[geovalin]

Cambodian casinos contributed the amount of $34.7 million in tax revenue in 2015, up 33% as compared to the figure posted for 2014, local media reported on Tuesday citing information by the country’s Finance Ministry.

Ros Phearun, Deputy-General of the Finance Industry Department at the Finance Ministry, explained that the rise was particularly notable given the fact that tax collection growth in the previous three years was 12.5%. In 2015, Cambodia’s government introduced a revenue boosting strategy by improving the country’s tax system and its “transparency, efficiency, and equity” and by monitoring the collection of taxes more carefully.

Mr. Phearun further commented that the said strategy helped Cambodia collect additional tax revenue from non-gambling options at local casinos, with food and beverage ones being among those.

The Finance Ministry also revealed that tax revenue from NagaWorld, located in Phnom Penh, accounted for 23% of all the proceeds collected in 2015. Apart from a casino, the complex features a hotel as well as numerous entertainment and food and beverage options.

Mr. Phearun explained that they can eventually collect even more from the resort as it charges customers additionally for taking advantage of the other amenities available.

Smaller casinos near the country’s borders with Vietnam and Thailand also generated more in tax revenue last year as compared to the figures posted for previous years. According to Mr. Phearun, however, the increase would have been more significant, if it had not been for the more stringent cross-border monitoring measures imposed by Vietnamese authorities. Those resulted in lower casino revenue at some of the casinos located near Cambodia’s eastern border.

Despite the considerable increase in gambling tax revenue, certain lawmakers stated that proceeds from the country’s casino industry are still quite below potential. Son Chhay, a lawmaker from the Cambodia National Rescue Party, pointed out that given the fact NagaWorld can annually generate about $150 million, it is unacceptable that the country collected just a little more than $30 million in 2015.

The high-ranking politician pointed out that local casinos could contribute much-needed tax revenue that could be used for development and other important initiatives for boosting Cambodia’s economy. Currently, there are 59 casinos within the country’s borders. Those have annually generated an average of $2 billion over the past several years.

source: http://www.casinonewsdaily.com/2016/01/12/cambodia-casino-tax-revenue-33-2015/

[Eric Loh]

Much thanks to the Thais.

[Ulic]

I was in Shnooky a coupe of years ago while on a PP visa run. The casinos looked dead to me.

Not sure how they generated 2 billion. (money laundering, )

[Roota]

Much thanks to the Thais.

Not nearly as much as it used to be. Now twice as many Chinese visiting Cambo as Thais, and four times as many Vietnamese. Walk into a casino almost anywhere in the country and those are the main nationalities you see.