The casino industry in Jeju is losing competitiveness due to unfavorable competition environments with large casinos in other regions and overseas, and unreasonable regulations. This is because Jeju casinos are paying more funds because the method of calculating the tourism promotion fund paid by casinos is different from that of other regions.
According to Jeju Island on the 26th, foreigner-only casinos pay 60-70% of the Jeju Tourism Promotion Fund's financial resources. The sales of eight casinos in Jeju were KRW 80.7 billion last year, up 65.5% from the previous year (48.8 billion won). Based on this, the amount of fund imposed this year was 6.7 billion won, up 86% from last year (3.6 billion won). Jeju casinos have paid 192.5 billion won from 2007 to this year, accounting for more than 60% of the fund's revenue sources.
Jeju casinos pay up to 10% of their total sales to the Jeju Tourism Promotion Fund under the Jeju Special Act. However, unlike other regions such as Seoul, Incheon, and Busan, fees paid to professional recruiters are included in total sales.
As of 2019, casino fund payments in the province, including fees for professional recruiters at the time, are estimated to be KRW 15.1 billion, and about KRW 9.3 billion when excluding fees. In other words, Jeju casinos have 62.6% more funds than casinos in other regions. Casinos pay taxes on behalf of professional recruiters. The combined monthly sales of eight casinos in Jeju are less than the monthly sales of one casino in the metropolitan area.
As such, Jeju casino operators pay more tourism promotion funds than other regions just because their business sites are in 프리카지노 Jeju. The industry is complaining that Jeju Island, which has the right to permit casino businesses, is overly regulated even though it should not discriminate against or give preferential treatment to certain taxpayers without reasonable reasons according to tax egalitarianism.
Jeju Island adheres to a rule that includes fees in total sales because it is not desirable for casino operators to rely excessively on professional recruiters.
At the time of the 2014 parliamentary audit of Jeju Island, lawmaker Kang Chang-il took issue with fees between casino operators and professional recruiters and criticized them for failing to secure tax revenues in the process of earning huge profits. In the process of preparing a system for taxation of professional recruiters by the sixth popular election, Jeju Provincial Government confirmed side effects such as tax evasion by establishing a professional recruiter company under a borrowed name, and after review, the ordinance was revised to include professional recruiter fees in the casino operator's total sales calculation method.
Under the current law, there is no provision to collect taxes from professional recruiters, and since it cannot be collected by ordinance, more Jeju Tourism Promotion Fund has been imposed on casino operators indirectly.
An official from the casino industry claimed, "Jeju Island explains the case of Las Vegas and Singapore, which are advanced casino countries, but these countries are open casinos that all enter and exit regardless of whether they are domestic or foreign, and it is inappropriate to compare them."
In the case of Singapore casino tax rates, 5% for VIP customers and 15% for non-VIP customers are applied differently.
The ratio of the Jeju Tourism Promotion Fund is based on domestic law, and the basis for changing the calculation method reveals the problem of applying domestic law and overseas cases without standards.
The casino industry in the province says that Jeju casinos are small, so the fee taken by professional recruiters in contract games is higher than in other regions, and that the system needs to be improved as sales activities are very important to attract overseas customers as well as regional equity issues.
"Casinos in the province raise a large portion of the tourism promotion fund, and casinos contribute to the local economy through job creation and community contribution activities," said Moon Sung-jong, a professor at Jeju Halla University, who heads the supervision of the casino industry on Jeju Island. "The fund needs to be spent on the welfare of workers, retraining programs, and marketing expenses."