Chin wants gross profit taxon sports betting
Published: Friday | February 13, 2009
President of the United Bookmakers' Association, Xavier Chin, is urging the government to implement the gross profit tax on sports betting which, despite various proposals and recommendations, has been ignored for several years.
According to Chin, because of the delay in its implementation, the bookmakers have stopped sales on sports betting since June of 2008.
Sports betting includes the NFL, NBA, World Cup cricket and football, as well as the English Premier League and, of course, the Olympics.
Chin, who is the CEO of the island's largest bookmaking company, Track Price Plus Limited, made the point that during the 2006/2007 NFL season, two of his shops sold in excess of $40 million on American football, as the NFL is popularly called.
"That, in a way, was limited business for us. Can you imagine the level of betting if the gross profit tax on sports betting was in place?" asked Chin. "That would translate into greater revenues to the government. We believe the time is long overdue for the Ministry of Finance to address this issue in a positive way."
He recalled that when the gross profit tax on horse racing was implemented in November, 2005, sports betting was mistakenly omitted, even though representations were made for its inclusion.
Sports betting at present attracts a 10 per cent bets winning tax on payouts handed back to the punters, which creates an immediate loss on acceptance of a wager.
Chin said assurances were given that it would be looked into but, to date, nothing has been done.
- O. C.