Macau expects to collect just US$5.35m in taxes via junket commissions in 2022
Authorities in Macau predicted the government will only collect MOP43m (US$5.35m) from taxes on commissions paid by casinos to junkets.
Macau.- The Macau government estimates that throughout this year it will only collect MOP43m (US$5.35m) in taxes on the commissions junkets receive from casinos.
As GGRAsia revealed, the figure is down 79.5 per cent when compared to the previous fiscal year where authorities expected to collect MOP210m.
According to the 2020 budget, the actual tax levied on commissions paid by casinos to junkets was close to MOP66.54m, down 68 per cent from the initial forecast of MOP210m authorities had predicted.
Junkets are licensed by the Macau government to promote VIP gaming in casinos in the city. Their services include arranging gambling credits for players, recovering losses caused by high bets and organising player accommodation.
A 5 per cent withholding tax is levied on commissions paid by gaming operators to junkets, however, withholding tax is not levied on the total value.
The number of junket licences issued by the DICJ has been falling each year from 235 in 2013 to 85 in 2021.
The crisis deepened after Alvin Chau Cheok Wa, CEO of Suncity Group Holdings, was arrested over cross-border gambling and money laundering accusations.
