GGRAsia – Pagcor told make 30 years of Sports Commission payments

Pagcor told make 30 years of Sports Commission payments

Aug 26, 2024 Newsdesk Latest News, Philippines, Top of the deck

National casino regulator the Philippine Amusement and Gaming Corp (Pagcor) has been ordered by the country’s Supreme Court to make 30 years’ worth of payments to the Philippine Sports Commission.

A ruling made public on Thursday on the court’s website stated Pagcor must “remit the full amount of 5 percent of its gross income per annum, after deduction of its 5 percent franchise tax, from 1993 to [the] present in favour of the Philippine Sports Commission”.

In the first half this year, Pagcor reported total income – mostly from gaming operations – of just over PHP51.76 billion (US$921.7 million). The regulator reported net income of just under PHP6.57 billion for the first six months of 2024, up 121.5 percent from a year earlier.

Another body, the Philippine Charity Sweepstakes Office was also ordered in the ruling to make payments to the sports commission “for the years 2006 to [the] present”.

The petition had been brought by Josseler Guiao, a former member of the House of Representatives and of its Committee on Youth and Sports Development.

The Supreme Court ruling said the sports commission has been “neglected for decades”.

As per the judgement, Pagcor had argued the sports commission was not entitled to the 5 percent figure mentioned.

The gaming regulator said that the share claimed by the sports commission would be subject to deductions for the payment by Pagcor – from its gross income – of not only 5-percent franchise tax, but also a 50-percent share to the national government, and 10-percent subsidy to the National Power Corporation. Pagcor said this would leave a residue of 2.1375 percent payable to the sports commission.

GGRAsia has approached Pagcor, asking it for comment on its next steps in relation to the Supreme Court ruling.

The Philippines was tied in 37th place with Hong Kong in the medal standings for the Paris 2024 Olympic Games, with two golds and two bronze medals. It was said to be a record haul for the Philippines.

The country had a population of just over 109.0 million in 2020, the time of the most recent census, according to a presidential statement.

The population of the Hong Kong region as of mid-year this year was just over 7.5 million, according to Hong Kong’s Census and Statistics Department.