In a note on Tuesday, Bernstein said that a proposal to lower gaming tax has been made by a Macau lawmaker in an attempt to increase the region’s competitiveness.
The tax change was recently proposed by Macau legislator Mak Soi Kun so that Macau is better able to compete with Singapore and the Philippines, which have both lowered gaming tax rates. A “point system” was proposed by Mak, which would provide concessionaires with tax incentives if they successfully implement ““socially responsible and non-gaming related projects,” according to Asia Gaming Brief. According to Bernstein, however, “any change in gaming tax rates is highly unlikely to occur before the concession.”
Meanwhile, gross gaming revenues continue to decline in the “Vegas of China,” where its 33 casinos reported April revenue of $2.17 billion, a 9.5 percent decline year-on-year. It also signifies the 23rd consecutive month of declining revenue for the Special Administrative Region of China located about 37 miles directly west of Hong Kong.