Costa Rica Announces Online Gambling Tax Plans
As widely reported here on Gambling911.com, the Central American online gambling haven of Costa Rica has once again decided it would like to tax such enterprises. Similar attempts in the past have failed.
The Costa Rican ministry of finance revised its plans after casinos threatened to exit the country.
Tax-News.com reports that the legislation would include the setting up of a Gambling Control Board that would exist as part of a 0.5% per year on gross income from online gambling and land-based casinos. The Board would be responsible for issuing operating licenses for these businesses for up to six years and set penalties for non-compliance. A 15 percent tax would be imposed along with a flat charge of US$50,000 per year.
While Costa Rica does not wish to scare these operations away, the revised plans probably will do little to comfort them.
Other online gambling jurisdictions such as Antigua charge a similar US$50,000 per year but without any imposed taxes. Neighboring Panama does not incorporate an actual online gambling license.
The country insists it needs extra income in order to fight crime in the country. However, recently, the U.S. Government volunteered some 7000 Marines to do just that at presumably no cost to the Costa Rican country.
Aaron Goldstein, Gambling911.com
