• Casino Developers Look To Japan 2017
• Casino Developers Look To Japan Online

Casino Developers Look To Japan 2017

Brazil is the new trendy spot where major casino companies are focusing their attentions. Japan receives a lot of attention, but Japanese lawmakers are considering policies that could quell a lot of the enthusiasm by top companies.

Casino Developers Look To Japan Online

Recently, Caesars Entertainment and Las Vegas Sands Corp each confirmed they were looking at Brazil as a possible area of expansion. Brazil’s government is on the verge of approving land-based casino gambling, to raise revenues and encourage foreign investment.

Japan legalized casino gambling and cleared the way for three casino resorts, giving companies such as Las Vegas Sands and MGM Resorts International their first chance to open in the country. TOKYO - A lawmaker and former state minister arrested on suspicion of taking bribes enquired personally with Japan's transport ministry over an 'integrated' casino resort operator's plans for an.

Japan's biggest property developer Mitsui Fudosan Co has joined forces with media firm Fuji Media Holdings and builder Kajima Corp to develop a proposed casino and resort complex in Tokyo.

Las Vegas Sands in Brazil

Sheldon Adelson of Las Vegas Sands is considering as much as $8 billion for a casino in Rio de Janeiro. Adelson was in Rio a couple of months ago, accepting an award for his humanitarian work in Brazil and talking to the city’s civic leaders.

Adding Brazilian and Japanese casinos might complete the global gaming empire Sheldon Adelson once envisioned. After a rough couple of years for LVS after the crackdown on junket operators and credit card transactions in Macau, Adelson appears to be riding high once again. One day back in December, he made over $3 billion when Las Vegas Sands’ share prices went up.

In Canada, gambling winnings are generally free from taxation. The tax exempt status of gambling winnings comes from the longstanding principle in British law that the winnings of a person placing bets should not be taxed, while the winnings of a bookmaker are taxable.2 This principle has been codified in Canadian law by 40(2). To explain the various tax situations on online gambling in Canada, we can conclude that winnings are usually not taxed unless the government considers them to be your primary source of income or you engage in business related transactions. Tax on gambling winnings canada state. Do Canadians Have To Pay Tax On Gambling Winnings? No - Canadians do not have to pay taxes on gambling winnings from horse racing, sports betting, lotteries, online casinos and any other games of chance. However, if you earn interest on your winnings, you must legally declare that on a T5 form. This interest is taxable. Jan 03, 2020  Gambling Winnings. A payer is required to issue you a Form W-2G, Certain Gambling Winnings (PDF) if you receive certain gambling winnings or have any gambling winnings subject to federal income tax withholding. You must report all gambling winnings as 'Other Income' on Form 1040 or Form 1040-SR (PDF) (use Schedule 1 (Form 1040 or 1040-SR) (PDF. Jul 30, 2019  Prior to the new tax reform law, taxpayers’ costs (like transportation and admission fees) could be claimed regardless of winnings. But beginning with the tax year 2018 (the taxes filed in 2019), all expenses in connection with gambling, not just gambling losses, are limited to gambling winnings.

Caesars Interest in Brazilian Casinos

Caesars Entertainment is emerging from a long bankruptcy, which was proceeded by years of crushing debt to the tune of $23 billion. The debt burden came from an ill-timed leveraged buyout just prior to the 2008 stock market crash and Global Recession.

Now that it has flexibility to make major overseas investments, Caesars is unlikely to allow a big opportunity like the Brazilian casino market pass it up. Caesars did not invest in Macau and Singapore at a time when its major rivals gained entry into those markets. As one of the BRIC economies, Brazil is an important emerging market.

Rio de Janeiro is not the only city being considered, though its potential as a resort destination is obvious. Top casino developers are looking at Brasilia and Sao Paulo, as well. Brasilia’s metropolitan area has a population of just under 3 million people, while Brazil’s capital city of Sao Paolo (pictured) has a population of 12 million and a metropolitan area population of 21 million people — almost twice the size of Rio’s population.

Brazilian Gambling Laws

Most forms of gambling have been illegal in Brazil for decades. The Brazilian lottery, Jogo do Bicho, is popular in the country. Sports betting is illegal, though popular. In fact, Brazilians engage in enough banned gambling that it casino gambling should do well in the country. The gambling from tourists coming to Rio’s beaches should be tremendous, too.

Brazil’s leaders decided to legalize casino gambling to generate tax revenue. The 2016 Summer Olympics ended up costing $12 billion, which was twice the budget allotted by the International Olympic Committee. That left the Brazilian government with a serious deficit that it needs to shore up.

Japanese Casino Companies

As for the potential Japanese casino market, LVS and Caesars are not the only companies who want to bid on a license. Among American casino companies, MGM Resorts, Wynn Resorts, and Hard Rock International all have expressed an interest in developing a Japanese casino. So have top Chinese casino operators, Galaxy Entertainment and Melco Resorts.

With seven casino giants bidding in the Japanese market, not all are going to secure a license. Tokyo, Yokohama, and Osaka are all considered fairly certain to be given casino licenses, while some of the outlying islands likely will receive consideration. Each international casino license holder is expected to be paired with a Japanese company, as the early drafts of legislation appear to include joint partnerships.

Other aspects of the draft legislation is concerning top American casino companies. Some reports suggest that policies for Japanese domestic gamblers might be restrictive, like Singapore’s casino laws. If so, the suggestions that Las Vegas Sands Corp and other developers might spend $10 billion on a Japanese casino are unrealistic. It is access to the Japanese gambling public, not the location of the casinos, that the American and Chinese gaming companies want access to.