Sands China President Wilfred Wong said Thursday that the Macau government is still examining the company’s 1Q23 financial results to determine the amount of tax reduction for the operation of foreigner-only gaming areas.
As previously reported by IAG, Macau’s concessionaires were asked last year to establish exclusive gaming zones for non-Chinese visitors, including specially designated gaming chips, in order to help determine the amount of revenue generated by foreign passport holders. The government had previously stated that concessionaires could receive a tax break of up to 5% for increasing foreign visitation.
Speaking with media at an event at The Venetian Macao on Thursday, Dr Wong was asked about the status of these areas, responding that foreign customers had so far been highly receptive to the new arrangements.
“At the beginning of the project, people were not so familiar with the environment, but we used private jets to bring customers to Macau, and gradually foreign customers, especially those from Southeast Asia, liked the arrangement because the gaming zone is a separate room, and they felt like they were going to a club,” he said.
On the issue of potential tax breaks, Dr Wong added, “The government will complete a review of the first quarter’s results before deciding on the amount of tax reduction, and we don’t know yet if it will be 5%.”
IAG has also contacted Macau’s gaming regulator, the Gaming Inspection and Coordination Bureau (DICJ) to inquire further about the promised tax reduction for concessionaires.
In response, the DICJ said, “Concessionaires are required to set up a database of foreign customers to store the supporting documents and information that must be submitted to the DICJ for the purpose of receiving the tax exemption.
“In order to obtain the grant, concessionaires must submit an application to the DICJ and submit the relevant supporting documents and information.”
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