Another big tax bill headed NagaCorp’s way

NagaWorld will be subject to an additional tax bill on its non-gaming operations, similar to the $16.6 million tax that was imposed last year, Phnom Penh Post reports.

Ros Phirun, deputy director-general of the Finance Industry Department was quoted as saying that the operator will need to pay at least $16 million on their non-gaming operations “from now on and for every year”.

“There is no longer any excuse for a company that is this profitable,” said Phirun.

On Monday, NagaCorp posted a boost in net profit for the half year ended June 30, 2017 of US$150.6 million, a 20 percent year-on-year growth compared to 16H1.

NagaWorld achieved strong gross gaming revenue growth of 40 percent in 17H1, reaching US$386.8 million.

Phirun said all this revenue would be subject to taxation, and that the company would no longer receive “special exemptions” for unfinished construction of its facilities, including its Naga2 development.

“They have delayed and delayed the opening of Naga 2, and after a full year of operations we will apply the same type of tax to their non-gaming activities and there will be no special exemptions,” Phirun said.

“If you look at how this company is growing, they have to pay.”