Taiwan got another step closer to having an actual casino built, as the administration approved a casino related proposal to be presented to legislators.
Even though the general framework of Taiwanese gambling laws allows the operation of casinos, many details must be clarified before actual projects can take off the ground.
One such issue was that of taxation, which caused some disagreement among various governmental departments.
The proposal finally addresses the issue, stipulating that casino winnings would be tax free for their first 20 years of operation. Keeping players’ winnings exempt from taxes was seen as a crucial prerequisite in attracting traffic to any future casino.
The establishments themselves would have their revenues taxed at 7% by the government in the first 15 years, with the rate rising to 8% in the 10 subsequent years and to 9% for the rest of the casino lifetime. Local municipalities may also slap a revenue tax on these brick-and-mortar casinos at a maximum rate of 7%.
The remainder of the proposal deals with issues like the prevention of underage gambling, banning problem gamblers, and other related matters.
This draft may alleviate some investor concerns, but so far the only serious and recurring project that Taiwanese gambling news reports have been focusing on, is that which Weidner Resorts wants to build on Matsu.
Speaking at the press conference following the cabinet session, Yeh Kuang-shih, Minister of Transportation and Communications made it clear that the government had no plans to allow casinos on Taiwan’s main island.
Even with such progress being made, it will take time for the proposal to be debated by lawmakers, so players should not expect to visit Taiwanese poker rooms, roulette tables and casino slot machines before 2019.