The Bureau of Internal Revenue (BIR) has intensified its monitoring on taxes paid by Philippine Offshore Gaming Operators (POGOs).
The BIR said it will also look after domestic licensed or Philippine-based POGOs under Philippine Amusement and Gaming Corporation (PAGCOR), since they are mostly registered under PAGCOR.
The agency said a five percent franchise tax will be collected by the BIR from POGOs, with an additional first time penalty fee for being caught unregistered under the government agency.
The BIR will also check POGOs who have virtual or digital offices and whose locations do not match their registered addresses. The agency said their operations may even be illegal.
The agency admitted it may find it hard to find these operators, but said they are ready to cooperate with PAGCOR and with the Inter-agency Task Force for POGOs.
As per the low tax rate imposed on POGOS, BIR Deputy Commissioner Arnel Guballa said the rationale on the tax rate of POGOs is determined by Congress.
Meanwhile, the Senate has been working on a bill to collect 30 percent income tax, aside from the five percent tax imposed on POGOs.
Although the bill has not yet passed legislative muster, the BIR assured it will strictly implement the five percent franchise tax collection on all POGOs in the country. – Report from Louisa Erispe
