In Canada, workers at the casino center will have to pay income tax. But it is possible that the winning gamblers will not have to pay taxes according to the new proposal.
Canada’s Federal Court has abolished the rule of collecting personal income tax on casino-winning online blackjack individuals. However, if no personal income tax for the winner in the casino, the Canadian budget will fall little. But will be offset by a double increase due to increased excise taxes from casino workers.
However, the Canadian government said in practice it is impossible to determine the player’s prize income.
In addition, due to the form of casino business under special business conditions, the regulation on corporate income tax and special consumption tax. That is now higher than other businesses.
Compared to other countries in the world, the above tax rate for casinos in Canada is said to be high. In Macau, the total revenue for the casino is about 37 percent of the revenue. In particular, they do not collect personal income tax winners in casino.
Not only Macau, many countries near Canada also do not collect personal income tax on winning casino prizes like Singapore and Malaysia. The revenue tax for the casino business owners is specifically determined by the percentage on the revenue of workers.
It is determined instead of on the taxable income as ordinary businesses. Because even countries with experience in casino development find it difficult to determine taxable income from casinos.
Because they cannot identify the costs related to the taxable income of casino activities and the costs related to the general operation of the business. Therefore, they proposed to abolish the regulations on personal income tax collection for casino-winning individuals.
This will reflect the true nature of income tax, more in line with international practice. Refer to lessons from other countries, Canadian courts recommend that the tax authority be supervised. They should directly manage the sales and stipulate the rate to fix the income tax rate on the revenue of workers.