TAM: DIRECT GAMING TAX FLAT AT MOP115BLN FOR 2015

2014/11/19

From：Macau Businessdaily

The Secretary for Economy and Finance said that Macau could expect a flat gaming tax revenue for next year, whilst stressing that it would not impact public expenditure.

Speaking to the Legislative Assembly yesterday, Secretary for Economy and Finance Francis Tam Pak Yuen said Macau could expect its direct tax from gaming to reach MOP115.5 billion (US$14.46 billion) for 2015, a level that would not affect the administration’s plan for public expenditure.
Mr. Tam was speaking at yesterday’s plenary assembly that discussed the city’s budget plan for 2015, which forecast that the total revenue for the government would reach MOP154.66 billion, with direct tax occupying about 80 percent.
Of the MOP124.95 billion of direct tax that the government expects to collect for next year, the Secretary noted that gaming taxes would reach MOP115.5 billion, a level that would “maintain” a similar level to this year.
The government expects to collect MOP117.85 billion of direct taxes from gaming for this year, including not only the 35 percent special gaming tax on gross gaming revenue but other taxes such as those paid by gaming promoters, the latest accounts released from the Financial Services Bureau show.
While the bulk of MSAR’s income is from gaming revenue, in continuous decline for five months, the city’s budgeted income at MOP154.66 billion for 2015 only represents a year-on-year rise of 0.7 per cent.
Noting that the forecast has already taken into account the annual gross gaming revenue drop recorded between June and October, Mr. Tam said that with the MOP115 billion gaming tax revenue estimated for 2015 only the surplus of the city would be affected while public expenditure would remain as planned.
The government estimates that MOP83.71 billion will be spent next year, which would represent an increase of nearly 8 percent or MOP6.1 billion compared to this year.
A total of MOP14.78 billion will be allotted to the city’s public investment plan (known by its Portuguese acronym PIDDA) for 2015, covering the major infrastructure projects here – the artificial island where the Hong Kong-Zhuhai-Macau Bridge will land, the public transport system, and the cost of the urban reclaimed zones.
The allotment for the city’s welfare expenses, including the cash handout and continuing education scheme, will total 9.85 billion patacas, Mr. Tam said.
The budget plan for 2015 will still have to go through further deliberations in the sub-committee of the Assembly.
At the plenary session yesterday, legislators also rejected pro-democrats Au Kam San and Antonio Ng Kuok Cheong’s bid to debate whether Macau should prepare for political reform next year – one that can realise the universal suffrage goal of electing the city’s Chief Executive by 2019 and adding more directly-elected legislators to the Assembly.
The legislators opposing debate, including veteran business sector representative Cheang Chi Keong and the Federation of Trade Union’s Kwan Tsui Hang, reckoned that the pro-democrats’ bid had been influenced by Hong Kong’s ‘Occupy Central’ movement and should be discussed by the public at large; the legislators also questioned the timeframe set by Mr. Au and Mr. Ng for electing the Chief Executive by 2019.

Copyright@Macau Business Daily