• 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

Tigre de Cristal gaming levy might double: Union Gaming

Jan 24, 2017 Newsdesk Latest News, Rest of Asia, Top of the deck  


Tigre de Cristal gaming levy might double: Union Gaming

Were a reported planned amendment to Russian gaming law passed, it could potentially double the taxes payable on machines and tables by a casino project backed by Lawrence Ho Yau Lung, says a note from brokerage Union Gaming Securities Ltd.

But the institution added it was far from certain whether there would even be any impact on the Tigre de Cristal casino venture (pictured), led by Mr Ho’s Hong Kong-listed vehicle Summit Ascent Holdings Ltd and based in the Primorye Integrated Entertainment Zone (IEZ) near Vladivostok.

“Even if Primorye [IEZ] doubled its tax rate to the potential new statutory maximum, the taxes paid by Summit Ascent would go from around HKD10 million [US$1.29 million] at current tax rates to HKD20 million on an annual basis (or about a 2 percent EBITDA impact),” wrote analyst Grant Govertsen in a Sunday memo, referring to earnings before interest, taxation, depreciation and amortisation.

Summit Ascent said in its interim report for 2016 filed with the Hong Kong bourse in September, that as of the reporting period, gaming tax in the Russian Federation was determined by applying a fixed monthly fee to the number of gaming tables and slots in a casino property. It said the monthly fees per table and per slot were RUB125,000 (US$2,107) and RUB7,500 respectively.

“We do not believe the [legislative] changes have been finalised yet,” said Mr Govertsen’s memo.

He added: “Local policy can be different than national policy as Vladivostok (Primorye IEZ gaming area) establishes its own – potentially lower – tax rates that are within a band set at the federal level.”

The possibility of an increase in gaming taxes for Russia’s casino projects was mentioned in Russian media reports last year.

GGRAsia approached Summit Ascent for a comment on the latest reports, but was still awaiting a formal response at the time this story went online.

A report with Sunday’s date in the Russian-language outlet Championat, said the Russian Federation’s Ministry of Finance was considering an initiative that would potentially include an increase in taxation on casino gaming operators, including per-unit levies payable on gaming tables and slot machines.

GGRAsia understands that a gaming tax liability mentioned for Summit Ascent in its interim report was recorded on an unconsolidated basis, and that the company’s actual gaming-related taxation burden will be clearer in the full-year results.

Summit Ascent holds 60 percent of Oriental Regent Ltd, which owns 100 percent of G1 Entertainment LLC, which in turn holds the gaming licence for Tigre de Cristal.


  • tweet
Related articles
  • Sanctions on Russia could hit Cyprus casino biz says Melco
    Sanctions on Russia could hit Cyprus...

    Apr 01, 2022  

  • Macau no longer VIP bet hub of Asia, admits Suncity listco
    Macau no longer VIP bet hub of Asia,...

    Mar 30, 2022  

More news
  • Moody’s downgrades SJM debt on slow Macau recovery
    Moody’s downgrades SJM debt on slow...

    May 16, 2022  

  • Macau GGR tax cut may spur 15pct EBITDA hike: JP Morgan
    Macau GGR tax cut may spur 15pct EBITDA...

    May 16, 2022  


Latest News

Moody’s downgrades SJM debt on slow Macau recovery

Moody’s downgrades SJM debt on slow Macau recovery

May 16, 2022  

Moody’s Investors Service Inc has downgraded Macau casino operator SJM Holdings Ltd’s corporate family rating (CFR) to ‘Ba3’ from ‘Ba2’. Both ratings are considered non-investment...
Read More
Macau GGR tax cut may spur 15pct EBITDA hike: JP Morgan

Macau GGR tax cut may spur 15pct EBITDA hike: JP Morgan

May 16, 2022  

Macau mulls GGR tax cut if casinos attract foreign players

Macau mulls GGR tax cut if casinos attract foreign players

May 13, 2022  

Sign up to our FREE Newsletter

UB8V5.qr.16(Click here for more)

Pick of the Day

”Any reduction in [Macau gaming] tax would be positive for future profits and cash flows, all else equal”

DS Kim, Amanda Cheng and Livy Lyu

Analysts at brokerage JP Morgan Securities (Asia Pacific)



Most Popular

  • Macau mulls GGR tax cut if casinos attract foreign playersMacau mulls GGR tax cut if casinos attract foreign players May 13, 2022
  • Macau modifies satellite owner plan, rev share ban staysMacau modifies satellite owner plan, rev share ban stays May 13, 2022
  • China bars 90,000 from travel in cross-border bet actionChina bars 90,000 from travel in cross-border bet action May 13, 2022
  • Macau GGR tax cut may spur 15pct EBITDA hike: JP MorganMacau GGR tax cut may spur 15pct EBITDA hike: JP Morgan May 16, 2022
Copyright 2014-2022 TEAM Publishing and Consultancy Ltd / All rights reserved
  • Code of Ethics
  • Privacy Policy
  • Useful Links
  • Contact Us