Japan Eyes 50% Casino Tax

February 21, 2018 Taxation in Japan

Japan's casino taxesTOKYO – Japan’s upcoming casino rules could come with a hefty tax burden of up to 50 percent.

New information circulating in Japan’s national media indicate that the government intends to introduce some punitive taxes on the revenues earned in casinos across the country.

Casinos are not yet legal in Japan, and, currently, work is being done to legalize and allow the operation of Integrated Resorts which include casino facilities.

The new information indicates that these Resorts will face a tax on their revenues of 30 percent.

Any facilities which see revenues exceeding JPY 300 billion will face a tax of 40 percent, while those with revenues of JPY 400 billion will face an even more punitive tax rate of 50 percent.

The rates are much higher than the 7.75 percent faced by casinos in Nevada, however, they may be lower than the 39 percent seen in Macau.

The government reportedly hopes that the tax may help alleviate any negative effects that may arise from gambling, however, some analysts predict that the tax will just result in a hesitation by investors and developers to put more money into Integrated Resorts.