T. C. Goh
KOTA KINABALU: The increase in casino licence fee, casino duties and gaming machine duties may deter tourists, said Federation of Chinese Associations Sabah (FCAS) president Tan Sri Dr. T. C. Goh.
He said the casino might cut back on its free services to offset the costs increase, which in turn may drive away tourists to casinos in other countries, such as Singapore.
“Genting Casino, the only casino in Malaysia, could be even more well-known than our country itself. It is a must-visit destination for many tourists from China,” he noted.
With the increase of taxes, fees and levy on the gaming industry, Goh said the casino could lose its customer base, particularly those from China.
He was commenting on the 2019 budget which saw an increase of casino licence from RM120 million to RM150 million per annum; casino duties up 35 percent on gross collection; machine dealer’s license to be increased from RM10,000 to RM50,000 per annum; and gaming machine duties to be increased from 20 percent to 30 percent on gross collection.
Goh, who is also the president of Everise Ventures Sdn Bhd, the management company for Sandakan Turf Club (STC), lamented about having to compete with unlicensed gambling operators, particularly illegal 4D bookies who sold lottery tickets without the need for physical outlets.
“Although the tax imposed on lottery operators remains unchanged, we can hardly compete with illegal bookies,” he lamented.
On a related note, he said increasing revenue besides reducing expenditures was the way to go to resolve the financial issues plaguing our country. As such, he hoped that the relevant agencies would also tighten enforcement to crack down on illegal operators in order to curb the loss of tax revenue.
He added that the Sabah State Government should also emulate the Federal Government in abolishing the sales tax on lottery tickets to ensure a level playing field for West and East Malaysian operators.
Goh pointed out that the 15 percent sales tax imposed on lottery tickets in Sabah was the highest nationwide.
He added that the sales tax on lottery tickets encouraged illegal 4D operators, which cost the government tens of millions in tax revenue.