Japan: strong opposition to casino winning tax plan

Japanese government planned to tax casino winnings of foreign visitors, but the strong opposition to that measure resulted on a postposition.

Japan.- A strong opposition from the Liberal Democrat Party and public opinion against a plan to tax the casino winnings of tourists made government step back and postpone the action.

Japanese government considered to tax gambling income earned by foreign visitors as part of a legislation for the Integrated Resorts. The tax would apply to the net profit of chips at their purchase value at casinos in IR facilities upon cashing out, as well as an obligation on operators to record wins and losses of each game. The plan was going to be integrated in the ruling party’s tax reform drafted in December 2020, coming into force from 2021.

However, the LDP has since opposed the measure due to concerns over the heavy burden it would place on operators and potential limitations on investment into Japan’s casinos. That is the reason why the plan is officially postponed until next year.

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