Argentina raises Gambling tax

[xandry]

First, is the tax for the gambling industry (home book) or for their citizen who plays gambling?
Actually, 5% is still a small tx percentage of the country for the gambling industry. There are still many countries that give very high taxes on gambling. Moreover, it is up to more than 80%, it is crazy, isn't it?
Like what we can see here:
The Ultimate Guide to Gambling Tax Rates Around the World
The Highest And Lowest Gambling Taxes Around The World

Are you kidding? It is the tax for gambling companies and if you will read the second article from your post then you will understand it. This is a quote from it:

Argentina had provided a haven for online gamblers up until very recently with its tax-free winnings legislation. That’s all set to change with a 15 percent gross income and 2 percent fee being considered.

Gambling (taking big risk, whether in bets or other area) is actually bad and very risky. It's immoral to tax and benefits from things that are bad for people

If it is immoral, why are you promoting Bitvest casino in your signature space and (oh, no!) profiting from the casino?

[Sebas.tian]

What are your thoughts on this ??

I support regulation but the higher the taxes the worse for the business.
Argentina is in a desperate situation with a high inflation currency. The government is desperate to try get more money while it keeps spending way more than it can raise in taxes.
Due the regulation casinos will earn less, people will lose more and the government will get some money but at a expense of a declining business as a result.

As a third world country Argentina is facing something usual since the advent of the corona-virus pandemic, they are among the worst hit by this virus and their economy has been devastated, what do you want them do to raise their revenue generation?. If this will on the interest of the citizens, then, so be it and everyone should accept this action from the government in good fate.

[jrrsparkles]

https://www.gamblinginsider.com/news/10471/argentina-raises-online-gambling-tax-to-5

Apparently Argentina just raised their gambling tax to 5%.

The Argentine Chamber of Deputies has passed a law that will increase the online gambling tax rate from 2% to 5% in 2021. The new law was added to the National budget proposed by Economy Minister Martín Guzmán. The tax will apply to any online betting transaction. There’s also a 10% rise for the companies that operate in low-taxation countries.

Apparently the industry was unregulated for a long time and the government now decided to go for it since they will aid in the future stability and improvement in the financial situation.

The industry according to them apparently is able to get 2.4 billion dollars worth of revenue and which is inclined to help the country , 95% of the tax is going to go to the province.

What are your thoughts on this ??

Is this good/bad , how would we be able to cope up with the governmental bodies increasing the gambling tax thus shutting down the small business causing problems for the long run.

- it was a little sudden to increase it to almost double. The government never even helped the industry for the sake of the argument.

This plan was likely to be on the officials radar for very long time and now it seems the perfect time to increase the taxes on entertainment industry so that gambling also falls into that category so they can convince the people that this is just the action to tackle the post covid situations. Increasing the taxes can be win win situation if the money used for the betterment of the country and the industry itself or else people may go with dark side gambling area.

[Golftech]

What are your thoughts on this ??

I support regulation but the higher the taxes the worse for the business.
Argentina is in a desperate situation with a high inflation currency. The government is desperate to try get more money while it keeps spending way more than it can raise in taxes.
Due the regulation casinos will earn less, people will lose more and the government will get some money but at a expense of a declining business as a result.

As a third world country Argentina is facing something usual since the advent of the corona-virus pandemic, they are among the worst hit by this virus and their economy has been devastated, what do you want them do to raise their revenue generation?. If this will on the interest of the citizens, then, so be it and everyone should accept this action from the government in good fate.

As if they have other option right? They are doing everything that they know in order 
produce something to help their economy, they've been hit by this virus and finding
every possible ways that includes businesses that still existing even this pandemic is
ongoing, the government is doing all legal actions to gather money to help
the entire country.

[Vishnu.Reang]

As if they have other option right? They are doing everything that they know in order 
produce something to help their economy, they've been hit by this virus and finding
every possible ways that includes businesses that still existing even this pandemic is
ongoing, the government is doing all legal actions to gather money to help
the entire country.

I understand that they are facing shortage of funds. But the solution for that is not to increase the taxes left, right and center. First of all, all the socialist regimes in Latin America needs to cut down their welfare spending. Under such market conditions, handing out freebies without any limit is not viable. And secondly, they should try to reduce corruption among the government officials and the bureaucrats, which is the real reason for the shortage of funds in the first place.

[shield132]

There is no need to help gambling related service cause they make tons of money, just plain and simple. Despite the fact that I am into gambling and have experience in this field, I think that it's good. People will still gamble, the casino will still profit but the positive thing that will happen is that more money will go into the budget. It will be positive if this money is used for people and not for making elite people richer. So, what happens there? People gamble, some win - some lose, in most cases - lose because games are mathematically designed like that, so, some people have much money - some less, much will give away money to casino and casino will bring more money to the government and this last one will spend this money on people in overall (If the government is good).

[carlfebz2]

As if they have other option right? They are doing everything that they know in order 
produce something to help their economy, they've been hit by this virus and finding
every possible ways that includes businesses that still existing even this pandemic is
ongoing, the government is doing all legal actions to gather money to help
the entire country.

I understand that they are facing shortage of funds. But the solution for that is not to increase the taxes left, right and center. First of all, all the socialist regimes in Latin America needs to cut down their welfare spending. Under such market conditions, handing out freebies without any limit is not viable. And secondly, they should try to reduce corruption among the government officials and the bureaucrats, which is the real reason for the shortage of funds in the first place.

We can whine but theres no such thing for them to stop even if you do know that corruption in government and others do really happen behind.If you cant show off some proofs then theres no point on
that kind of accusation but truly its really happening.

About on increasing tax then you do think with other solution? Even though some governments are corrupt but doesnt mean that all would be the same place
or make some generalization.

Adding some tax on gambling businesses isnt really a bad idea yet 5% isnt really that a huge bump.

[Ayiranorea]

Taxation is the income for the government. Each and every country have its own way of taxation policy. Argentina being a country well known for lots and lots of sports activities have got more gambling platforms function fulfilling all the legal procedures. The government might've found the need of rise in the gambling tax as the houses make promised edge on every game.

[DabsPoorVersion]

It is good for them if it will be regulated,

But I am worried about the small companies/platforms, unlike big companies who have enough gamblers. But all in all, this will be good for the sake of the country and their plans to improve the financial situation since the whole world is having a hard time aiding this problem.

[Ryker1]

Well, the Argentinian government has their reasons for increasing the gambling tax and one of these could be the economic recession they experienced due to the pandemic and in order to recover, -- they consider to do it in gambling instead of increasing the tax on the basic necessities of the citizens which could lead to a higher price in the commodities. However, an increase in gambling tax will cause a lot of consequences it could lead to illegal gambling where small-time casinos would continue to operate illegally or without a license, and gambling activity can become more accessible to everyone including the minors since no law nor regulations shall need to abide if they operate outlawed.

[qwertyup23]

Interesting that they focused the increase on online-betting platforms.

Maybe the impact of COVID-19 has shifted (more like compelled) most gamblers in the online platform, that is why the Government wants to take advantage on the increase of tax. Though additional tax may be additional expenses for the user, this would rather, serve as additional revenue for the Government that can be allocated to their priorities.

It is good for them if it will be regulated,

But I am worried about the small companies/platforms, unlike big companies who have enough gamblers. But all in all, this will be good for the sake of the country and their plans to improve the financial situation since the whole world is having a hard time aiding this problem.

I think that before the implementation of the tax increase, the Government considered the impact on the small/companies and platforms. Maybe the positive impact it brings as a whole outweigh the negative impact on the small-scale industries on the long run.

[Hippocrypto]

It is good for them if it will be regulated,

But I am worried about the small companies/platforms, unlike big companies who have enough gamblers. But all in all, this will be good for the sake of the country and their plans to improve the financial situation since the whole world is having a hard time aiding this problem.

This plan of their government won't put their people into big problems with respect to taxations, because it became as an alternative for them to fast economic recovery. With tax implementation on gambling they're also sighting over the small gambling operators with definite bracket depending on their taxable income. So nothing to worry all about, things will be saturated since it was just starting over.

[suzanne5223]

I know this decision will affect the gamblers that use Argentina gambling site or from there but the Argentine need the fund since the country economy was said to be going from bad to worse and the best way for to fix the issue is to increase the tax of the successful company or individual.

[pankowri]

Nowadays People are getting encouraged for gambling in many ways. Getting more traffic than the previous year, so the government wants to use this sector as the economy is struggling due to pandemic issues. For raising gambling taxes, there have positive and negative sides. But we can think of it as positive aspects that the government will work for the people and the revenue will be distributed to people's lives.

[robelneo]

As a third world country Argentina is facing something usual since the advent of the corona-virus pandemic, they are among the worst hit by this virus and their economy has been devastated, what do you want them do to raise their revenue generation?. If this will on the interest of the citizens, then, so be it and everyone should accept this action from the government in good fate.

If we are not in a pandemic and Argentina's economy is doing great, and they increase online gambling tax by that percentage we can call that unfair, and not right. But Argentina is one of the worst-hit by the pandemic, and they need all the money they can get to sustain the economy and give help to heir people, and online gambling is one of the industries that can help, so we should look at gambling sites coming to the rescue of their economy.
Maybe after this pandemic is over they can reduce the tax again when everything is back to normal.

[Salauddin1994]

One of the most attractive areas in argentina for gambling operators but now online gambling is severely restricted in the country and some time ago and in general was banned illegal casinos online can play on foreign websites although it is considered illegal. Despite the ban many online companies continue to accept players giving them the opportunity to play cricketers argentina has increased its gambling tax because it is legally recognized the government's economy has been hit hard by the epidemic. The trend of online gambling has increased a lot in the epidemic that is why the government is trying to improve the economy by legalizing gambling and levying taxes.

[judeafante]

- it was a little sudden to increase it to almost double. The government never even helped the industry for the sake of the argument.

Obviously, because of the pandemic, every government need money now, os instead of selling some of their assets or making a loan the taxes is one of their best way to get more funds into the coffer to sustain their needs, all counties are facing a dilemma on how to address various needs of their people in this pandemic, because it depletes a country's coffer.

[bryant.coleman]

If we are not in a pandemic and Argentina's economy is doing great, and they increase online gambling tax by that percentage we can call that unfair, and not right. But Argentina is one of the worst-hit by the pandemic, and they need all the money they can get to sustain the economy and give help to heir people, and online gambling is one of the industries that can help, so we should look at gambling sites coming to the rescue of their economy.
Maybe after this pandemic is over they can reduce the tax again when everything is back to normal.

No one is having any doubt regarding the precarious pandemic situation in Argentina (or for that matter any other country). But the question is whether this was the right approach or not. The casinos are also not doing that great. At this point, if they increase the taxes, then it can destroy them. And if there are no casinos, then instead of an increased tax, the government will be receiving zero taxes.

[peter0425]

If we are not in a pandemic and Argentina's economy is doing great, and they increase online gambling tax by that percentage we can call that unfair, and not right. But Argentina is one of the worst-hit by the pandemic, and they need all the money they can get to sustain the economy and give help to heir people, and online gambling is one of the industries that can help, so we should look at gambling sites coming to the rescue of their economy.
Maybe after this pandemic is over they can reduce the tax again when everything is back to normal.

No one is having any doubt regarding the precarious pandemic situation in Argentina (or for that matter any other country). But the question is whether this was the right approach or not. The casinos are also not doing that great. At this point, if they increase the taxes, then it can destroy them. And if there are no casinos, then instead of an increased tax, the government will be receiving zero taxes.

Actually this is not about How is casino doing now but what is casino having before the pandemic,They bag too much income with small tax on their heads so i think it is not that much if the government will at least ask for another small adjustment and consider this tax as Helping hands for the victim of pandemic.
Remember in normal days when the virus is gone,they can easily recover on the situation but those victims?they will take years before having another new life.

[proTECH77]

It will make many gambler not to have interest in gambling as usual in the country because of the tax the government has impose to all online gambler who just recover from pandemic, that really make things hard in the country. Many gambler find it difficult to gamble, to their satisfaction just because they don't have much money to gamble, for them to make more money from the gambling center. Many Argentina gambler will now reduce their gambling habit in the country because of the high fees the government has imposed to them in the country.
I think it will not work this year 2020, because the year just remain few weeks to end the year 2020 which the government will want the tax to start working from first week of next year to allow more gambler to save more money from their gambling.