Nagacorp agrees on new tax rate

Nagaworld has reached a deal with the Ministry of Economy and Finance for a new tax rate on non-gaming operations, a ministry official has told local media.

Ros Phirun, deputy director-general of the finance industry department at the Ministry of Economy and Finance said the new tax rate comes as a result of an audit of the casino’s business expansion and its non-gaming operations.

The probe began after finding “discrepancies” last year.

In 2015, Nagacorp paid around $15 million in taxes on gross profit of $327.8 million after generating a record $503.7 million in revenue, according to its 2015 financial year statement.

Phirun said that previously the government only charged NagaWorld a base rate on their business operation since the hotel had not been fully functional.

“Now their business operation is fully functional, both in gaming and non-gaming operations. Because of that, they have agreed to pay us a new revised tax rate,” he said.

“With this new revised tax for NagaWorld’s business operation, we hope to collect more tax soon when they launch their Naga2. But we have to wait and see the reality, first,” he added.