Solaire exempted from paying corporate income tax

The Philippine Supreme Court reassured its decision and Solaire will be exempted from paying corporate income taxes.

Philippines.- According to the Manila Times, the Supreme Court upheld its decision and declared that the company that operates the Solaire Resort & Casino, Bloomberry Resorts and Hotels Inc’s, is exempted from paying as a franchisee of Pagcor.

The Philippine Supreme Court stood against the country’s Bureau of Internal Revenue intention of imposing corporate income taxes on Pagcor’s franchisee’s earnings. The Presidential Decree 1869 states that “the regulator should pay only five percent franchise tax on its gross revenue in lieu of all taxes of any kind or form, as well as fees, charges or levies of whatever nature, which necessarily include corporate income tax.”

The Supreme Court said that there was no need for Congress to grant tax exemption to Pagcor with respect to its income from gaming operations as the same is already exempted from all taxes of any kind or form. Bloomberry had presented a petition to Philippines’ authorities to stop imposing the corporate income tax on the income from gaming operations. The sentence was first issued in August and in September the company was notified.