Philippines Proposes Online Gaming Tax Amid Regulatory Crackdown
The Philippine government is preparing to impose a new tax on online gaming operations. Finance Secretary Ralph G. Recto confirmed this development in an email exchange with BusinessWorld. The Department of Finance is actively studying taxation measures to address mounting concerns over gambling addiction among Filipino players. This marks a significant shift in the country’s approach to regulating its rapidly expanding digital gaming sector.
Finance Department Confirms Tax Study
Finance Secretary Ralph G. Recto told BusinessWorld that the department recognizes public concerns about online gambling’s impact on Filipino society. “Given this, we are already studying and will propose an online gaming tax,” Mr. Recto stated in his email response. He declined to provide specific details about the proposed taxation framework.
The Finance Secretary emphasized that authorities are examining broader policy options beyond taxation. “We are also studying other potential policy options to deter unimpeded and practically unrestricted access to gambling, particularly digital gambling platforms,” Mr. Recto explained. This indicates a comprehensive regulatory approach rather than relying solely on fiscal measures.
Proposed Measures Target Addiction Prevention
Mr. Recto outlined several protective measures under consideration by authorities. These include implementing limits on playing time and cash-in amounts to help prevent gambling addiction. The proposals also include mandatory display of clear warnings about gambling risks. Additionally, a prohibition on government officials participating in all forms of gambling, including online platforms, is being considered.
The Finance Secretary stressed that careful study must be conducted by regulatory authorities regarding the administrative feasibility of implementing these proposals. “Other additional requirements that may be imposed to limit the potential harmful effects of gambling” are also being evaluated, according to Mr. Recto, who emphasized the Department of Finance supports “strong safeguards” to regulate all forms of gambling in the country.