Goa Casinos Make Large Tax Contributions

Goa has become somewhat synonymous with casinos, as far as tourists in India are concerned. While casinos in Goa are now one of the main attractions to the many tourists that go there, the Goa casinos are giving the state government a large amount of income in both licensing fees and taxes.

In the fiscal year of 2012 – 2013, Goa casinos generated Rs 135.45 crore that went to the state government. The official numbers show that this money was paid by the casino industry in the form of a number of different taxes. These taxes included those for entry to the casinos, liquor licenses, an entertainment tax, and also port charges for those casinos that are located on ships that are anchored off the coast of Goa. This revenue went to four different government departments.

While there have been some changes in this past fiscal year when comparing it to the fiscal year of 2011 -2012, there were no official figures made available at this time. In 2011 – 2012, the entry fee per person to casino was Rs 2,000, and it was dropped for the 2012 – 2013 fiscal year to Rs 500 per person. There was much criticism of this drop in entry fees, however, there was still Rs 17.96 crore that was gathered in entry fee taxes alone.

After the government lowered the entry fee to casinos in Goa, they did increase the casino licensing fee. Licensing fees increased to Rs 2.5 crore for those casinos located on land, and Rs 6.5 crore for those casinos located off-shore. There are currently 10 land based casinos and five off-shore casinos. There are about 5,000 people that have been employed by these casinos.

The Goa entertainment tax is 15%, and has brought in Rs 53.29 crore to the state coffers in the 2012 – 2013 fiscal year. Another Rs 2 crore of VAT was taken in from food and beverage sales. The casinos also pay a liquor license free, with Rs 1 crore being paid from off-shore casinos and Rs 1.2 crore being paid from land based Goa casinos in the recent fiscal year.