The government is set to earn up to P1 billion in monthly taxes from various lottery games of the Philippine
Charity Sweepstakes Office based on the 20-percent tax increase set by the Tax Reform for Acceleration and Inclusion Law (Train) Law, PCSO General Manager Alexander Balutan said at a recent awarding ceremony at the Philippine Marine Corps headquarters in Fort Bonifacio, Taguig City.
Winnings on the lottery games such as Lotto, Ken, Small Town Lottery (STL) and Sweepstakes are affected by the 20-percent tax law.
Balutan said the P1-billion tax could be higher based on revenue projections of the PCSO this year that could reach up to P60 billion or more.
“With the aggressive expansion of our STL, having more than 81 Authorized Corporations (AACs) now playing nationwide, and our lotto games continue to progress with more than 10,000 outlets nationwide and more outlets to be created, the PCSO is becoming a very potent tax contributor to the coffers of the national government,” Balutan, a former Marine general, said on Monday.
In 2017 alone, the PCSO reported an earning of almost P53 billion, a quantum leap from the P39 billion earning in 2016.
Very crucial was the STL revenues that posted almost P16 billion from a mere P4.7 billion yearly from the two previous administrations.
Soon after former Davao City Mayor Rodrigo Duterte became President, the PCSO, through Balutan and former PCSO chairman Jose Jorge Corpuz, expanded the AACs from 18 to 56 and then to 83 at the end of 2017.
The PCSO board had approved a total of 92 AACs.
Balutan said that for 15 years, the STL operation was stalled and manipulated by big-time gambling lords for their jueteng, swertres, masiao, pares and other forms of illegal numbers game to flourish unabated.
But just recently, the board terminated the authorization of Evenchance Gaming Corporation playing STL in Camarines Sur because of various violations of the STL Implementing Rules and Regulations.