• About Us
  • The Team
  • Advertise with Us

The latest news on the gaming industry in Asia

() () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () ()
  • Home
  • Macau
  • Philippines
  • Singapore
  • Japan
  • Rest of Asia
  • World
  • Industry Talk
  • Trends & Tech
  • iGaming
  • follow
    • Facebook
    • Twitter
    • RSS Feed
    • LinkedIn

Another warning on tax hike risk for GEN Malaysia

Mar 16, 2016 Newsdesk Latest News, Rest of Asia, Top of the deck  


Another warning on tax hike risk for GEN Malaysia

Some investment analysts in Malaysia have issued what has now become an annual warning from the financial sector on the risk of tax hikes for the country’s only casino venue, Resorts World Genting (pictured in a file photo), operated by Genting Malaysia Bhd.

Hong Leong Investment Bank Bhd maintained its ‘neutral’ rating on Malaysia’s gaming sector and said that after recent hikes in so-called sin taxes for other sectors, Resorts World Genting was at risk of the same thing regarding gaming.

“With recent excise duty hike for breweries and tobaccos, we cannot rule out the possibility of a review in gaming tax up next,” the investment bank said in a note on Tuesday.

“Our estimation shows that for every 1 percent hike in gaming tax, financial year 2016 bottom line for Genting Malaysia Bhd and Genting Bhd will be negatively impacted by circa 3 percent and 1 percent, respectively,” said Hong Leong.

Its analysts were referring latterly to Genting group, the Malaysian conglomerate that is parent to Genting Malaysia.

Samuel Yin Shao Yang, associate director for equity market research at Maybank Investment Bank Bhd, separately told GGRAsia: “People are raising the tax issue now because the government is reeling from low oil prices.” Malaysia, in line with other oil producing countries, has seen its public revenues diminished by a global softening in crude oil prices.

Mr Yin clarified that Malaysia’s tax year runs from January 1 and that gambling at the Resorts World Genting property is subject to gaming tax levied at 25 percent of casino gross gaming revenue.

Since April 1, 2015, consumption of goods and services in Malaysia has been subject to a Goods and Services Tax (GST) at 6 percent.

Mr Yin said that GST on goods and services at Resorts World Genting is levied at an effective rate of 4.25 percent, rather than the national rate of 6 percent, because Genting Malaysia is allowed to offset some of the GST liability against its gaming tax liability.

Nonetheless he said that a decision by Genting Malaysia to absorb GST costs on behalf of its customers at Resorts World Genting, meant GST was costing the firm between MYR200 million (US$48.3 million) and MYR300 million per year.

Genting Malaysia is also subject to corporate tax at 24 percent of pre-tax profit, noted Mr Yin.


  • tweet
Related articles
  • Casino tech firm RGB promotes Liew to VP of finance
    Casino tech firm RGB promotes Liew to...

    Jan 19, 2023  

  • Singapore 2023 visits may double from 6.3mln 2022: govt
    Singapore 2023 visits may double from...

    Jan 17, 2023  

More news
  • Macau CNY mass GGR maybe 60pct plus of CNY 2019: JPM
    Macau CNY mass GGR maybe 60pct plus of...

    Jan 31, 2023  

  • Pagcor 2022 income up 66pct y-o-y, tops US$1bln
    Pagcor 2022 income up 66pct y-o-y, tops...

    Jan 31, 2023  


Latest News

Macau CNY mass GGR maybe 60pct plus of CNY 2019: JPM

Macau CNY mass GGR maybe 60pct plus of CNY 2019: JPM

Jan 31, 2023  

Macau mass-market casino gross gaming revenue (GGR) for the recent Chinese New Year (CNY) holidays could have recovered to at least 60 percent of that for the 2019 break, when the festivities were in...
Read More
Pagcor 2022 income up 66pct y-o-y, tops US$1bln

Pagcor 2022 income up 66pct y-o-y, tops US$1bln

Jan 31, 2023  

Junket boss Levo Chan heard okaying illicit bets: court

Junket boss Levo Chan heard okaying illicit bets: court

Jan 30, 2023  

Sign up to our FREE Newsletter

UB8V5.qr.16(Click here for more)

Pick of the Day


US$1.08 billion

Total income for 2022 reported by the Philippine Amusement and Gaming Corp



Most Popular

  • Available Macau casino tables busy at tail of CNY holsAvailable Macau casino tables busy at tail of CNY hols January 27, 2023
  • Almost half million visitors to Macau for 7 days of CNY holsAlmost half million visitors to Macau for 7 days of CNY hols January 30, 2023
  • Macau visitor momentum kept for post CNY weekendMacau visitor momentum kept for post CNY weekend January 30, 2023
  • Junket boss Levo Chan heard okaying illicit bets: courtJunket boss Levo Chan heard okaying illicit bets: court January 30, 2023
Copyright 2014-2023 TEAM Publishing and Consultancy Ltd / All rights reserved
  • Code of Ethics
  • Privacy Policy
  • Useful Links
  • Contact Us