The government intends to make sure t companies in the Philippine offshore gaming operations (POGO) industry that plan to close shop in the Philippines, or have already done so, will settle all their tax obligations.
Carlos Dominguez, Department of Finance secretary, yesterday shared to reporters communication sent to him by the Bureau of Internal Revenue (BIR) on the status of the exiting POGOs.
Dominguez said according to BIR, one of the POGOs mentioned, Don Tences Asian Services Solutions Inc. is a local licensee and already paying franchise tax.
The company will be subjected to investigation before it will be given clearance to close by the BIR, according to Dominguez.
“As to the other POGO (SC World Development Group Ltd.), it is an offshore licensee and it is not registered with the BIR. We still intend to go after its tax dues,” BIR said in its message to Dominguez.
The Philippine Amusement and Gaming “\ Corp. (Pagcor) said over the weekend several POGO companies have ceased operations, with more planning to leave.
Andrea Domingo, Pagcor chair and chief executive officer, had said leading casino junket operator Suncity Group’s unit has left the country and closed its business.
Jose Tria, Pagcor assistant vice president for offshore gaming licensing, said Don Tences Asian Services Solutions has also sought for the cancellation of its license from Pagcor.
Senator Joel Villanueva meanwhile said in a statement yesterday the reported exodus of POGOs due to tax issues just solidifies the position that “POGOs have very little, if at all, economic contribution to the country, and especially with their unwillingness to pay the correct taxes.”
“POGOs won’t be a loss to the Philippine economy. We should attract companies that invest in Filipino people. Good riddance,” Villanueva said.
“The exiting POGO companies should still pay the taxes they owe us. Otherwise, we should blacklist them and name them publicly so that other countries will be warned about the behavior of these companies,” he added.