The operator had argued that\u00a0the cost of commissions and win\/loss rebates paid to junkets should be taken into account when\u00a0calculating tax.\u00a0<\/p>\n\n\n\n\n\n\n\n
Australia.-\u00a0Crown Casino has won a federal court challenge over the calculation of goods and services tax (GST) it pays for\u00a0bringing\u00a0VIP gamblers to Australia on junkets.<\/p>\n\n\n\n
In the challenge launched two years ago, the operator argued that\u00a0the cost of commissions and win\/loss rebates should be taken into account when calculating GST.\u00a0\u00a0\u00a0<\/p>\n\n\n\n
It referred in particular to the tax assessment of its Melbourne casino operation between 2010 and 2015, and to two separate periods between October 2007 and July 2012 for its casino in Perth. <\/p>\n\n\n\n
Federal Court Justice Jennifer Davies has now ruled that the tax calculated by the Australian Taxation Office (ATO) in the cited assessments was “excessive”.<\/p>\n\n\n\n
She found that commissions and rebates the casino paid to junket operators and vice versa were “inseverable components”. <\/p>\n\n\n\n
She said: “It can be said that the commissions and rebates are not separate and distinct amounts to be disintegrated from the collective win\/loss results.” <\/p>\n\n\n\n
It is not the first dispute between the ATO and Crown Resorts. A previous matter over the company’s attempt to enter the US market, finished with a settlement. <\/p>\n","protected":false},"excerpt":{"rendered":"
The operator had argued that\u00a0the cost of commissions and win\/loss rebates paid to junkets should be taken into account when\u00a0calculating tax.\u00a0<\/p>\n","protected":false},"author":2,"featured_media":9887,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"is_press_release":false,"is_interview":false,"is_opinion":false,"focusai_summary":"Crown Casino has successfully challenged the Australian Taxation Office's calculation of Goods and Services Tax (GST) on its VIP junket operations. The Federal Court ruled that commissions and win\/loss rebates paid to junket operators are \"inseverable components\" and should be factored into the tax calculation, deeming the ATO's previous assessments excessive. This decision impacts Crown's historical tax liabilities and sets a precedent for the treatment of VIP gaming revenue.","focusai_entities":"Crown Casino, Crown Resorts, Australian Taxation Office (ATO), Federal Court, Justice Jennifer Davies","focusai_location":"Australia, Melbourne, Perth","focusai_target_profile":"ceo_executive (0.9), regulator (0.8), compliance_legal (1.0), operator_casino (1.0), investor_analyst (0.9), journalist_researcher (0.9)","focusai_suggestions":[{"label":"Impact on future tax","query":"What are the estimated financial implications for Crown Resorts' future tax liabilities and potential refunds from the ATO following this Federal Court ruling?"},{"label":"Precedent for operators","query":"How might this Federal Court decision on GST calculation for junket commissions establish a precedent for other Australian casino operators with similar VIP programs?"}],"footnotes":""},"categories":[16336,161,163],"tags":[289,2895],"class_list":["post-9885","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-australasia-news","category-daily-news","category-finance-news","tag-australia","tag-taxes"],"_links":{"self":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/9885","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/comments?post=9885"}],"version-history":[{"count":3,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/9885\/revisions"}],"predecessor-version":[{"id":21378,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/9885\/revisions\/21378"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media\/9887"}],"wp:attachment":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media?parent=9885"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/categories?post=9885"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/tags?post=9885"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}