Russia to Increase Gaming Device Tax
Russian casinos are preparing for a potential tax increase that is likely to have a huge impact on their operations.
The Russian government is reportedly creating an amendment in order to introduce a rise to monthly tax fees Russian casinos pay for every table game and slot machine they operate with in their business.
Although the country currently doesn’t have any tax regulation applied, the Russian casinos still have to pay around $2,100 per table and little over $120 for each slot machine on monthly basis.
And according to the media reports in the country, Russian authorities are likely to introduce increased fees which are likely to stand at up to $4,200 per table and up to $250 per slot machine.
Newly-proposed set of rules is likely to affect casino operators nation-wide, although the Prymorye region – which has enjoying a huge growth in operation over the last 12 months – is not expecting the regulation to impact the business of local licensees.
The region which recorded an increase in international players last year, particularly from customers from north-eastern China, is believed to on its own tax rates defined with a set regulated at the federal level.
This does not necessarily mean that Prymorye casinos are enjoying significantly lower tax rates, but will surely have them carefree and focused on their business regardless of the new tax propositions as the local authorities are not thinking about introducing changes to the current tax rates.
Prymorye regulators feel that the introduction of changes to the current regulation system could have a negative impact on the relatively new gambling market and that leaving things as-is could be of beneficial effect towards the encouragement of additional development.
On the other hand, casinos like Tigre de Cristal resort, which boast 23 tables and no fewer than 319 slot games could go on to record a 2% lower rate in their earnings before interest, tax, depreciation and amortization (EBITDA).