The Philippines government has warned POGOs (Philippines Offshore Gaming Operators) against the temptation of dodging their tax responsibilities. According to the country’s Finance Secretary, Carlos Dominguez III, the government will not hesitate in shutting down and operator’s operation if it refuses to pay income tax. Authorities have repeatedly demanded that POGOs pay workers’ income taxes, however their requests have been ignored up until now. The Bureau of Internal Revenue (BIR) is now threatening to take harsher action.
The government says that POGOs owe over $400 million. The Finance Secretary has already given the order to shut down any operator that does not come up with the money owed. Dominguez has turned to other authorities, such as the Philippine Amusement and Gaming Corporation, the Bureau of Immigration and the Department of Labor and Employment to help close down tax-dodging operators.
The government has suspended the issuing of new licenses to potential POGOs.
In the meantime, the Trade Union Congress of the Philippines proposed the creation of a body to manage and control the growth of the offshore igaming industry.
In a statement, the president of TUCP, Raymond Mendoza said: “The TUCP would like to propose the creation of a POGO coordinating body that has supervision and control of the industry for the benefit of the country.”