Draft decree requires Vietnamese to have at least VND15mil monthly income to enter casinos
Draft decree requires Vietnamese to have at least VND15mil monthly income to enter casinos
Regular members at casino clubs must have a minimum monthly income of VND15 million, while current players must show they have assets of an equivalent value.
A senior official of the Ministry of Finance, which is drafting the government decree on casino management, revealed that the ministry team compiling the draft plans to classify players into two groups.
The first one includes people who play regularly and who pay personal income tax at the third level, which means that their monthly income must be at least VND15 million.
The second group, which includes players who are irregular patrons, must prove they have valuable assets (saving books, etc…).
The chair of Bao Son Group, Nguyen Truong Son, said the golf-club management method could be a good example for casino management. Players have to buy membership cards, worth $50,000-100,000. This would serve as a deposit that could be used to prove the players’ financial capability and to settle problems if they later arise.
However, analysts have warned that under the current conditions of Vietnam, it will be very difficult to discover the real financial capability of players.
However, sometimes players’ money in their bank accounts is not their own money, but money they borrowed from other sources. They just show the bank accounts to prove their financial capability and obtain casino membership cards, but later withdraw money from the accounts.
Prof Ha Ton Vinh, an expert, also noted that in other countries, players are not required to prove their financial capability. The best way to find out if players are eligible to go to casinos is to consider information about their morality and past records.
Colin Pine, general director of the Ho Tram Company, which is running The Grand Casino, also said his casino does not require players to prove their financial capability. Foreigners now just show their passports or identity cards for admission.
However, Vinh thinks that Vietnam, like Singapore, can collect admission fees as a method to reduce risks. In Singapore, native-born players have to pay $100 for every admission and up to $2,000 per annum.
All countries impose high taxes on the players at casinos. Singapore, for example, taxes 5 percent on VIP players’ revenue and 15 percent on normal players’ revenue. In the Philippines, VIP guests are taxed 10 percent, and normal players 25 percent.
In principle, Vinh said, rich and high-income earners bear lower taxes than those with lower incomes. This aims to keep players with modest financial capability away from casinos.
the Macau administration taxes 39.5 percent on revenue, the highest tax rate, while South Korea taxes 10 percent.
In Vietnam, casinos impose three kinds of tax, including 10 percent VAT, 30 percent luxury tax and 22 percent corporate income tax.
vietnamnet
