PAGCOR collects $150,000 monthly from Porac POGO

PAGCOR collects $150,000 monthly from Porac POGO | Daily Tribune

PORAC, Pampanga — The Philippine Amusement and Gaming Corporation (PAGCOR) has confirmed that it has been collecting $150,000 (P8.815 million) monthly from Lucky South 99, the raided Philippine Offshore Gaming Operator (POGO) in this town.

The amount was disclosed by lawyer Joseph Lobo of PAGCOR who attended a special session of the Sangguniang Bayan on Thursday, according to Mayor Jing Capil.

The money represents PAGCOR’s collection in place of the two percent gross income per month or higher, mandated since the operation’s commencement in 2019.

“PAGCOR is responsible for issuing permits for Internet Gaming Licensees (IGLs) and monitoring their operations,” Capil said.

Lobo, along with two other PAGCOR representatives, clarified that their monitoring specifically targeted Lucky South 99 and did not extend to the entire area.

“PAGCOR is the sole government agency authorized to collect taxes from POGO operators in the country,” he said.

Capil said the local administration only issued a Letter of No Objection (LONO) for a Business Processing Outsourcing (BPO) operation, not for POGO operations at Lucky South 99.

Under RA 11590, which amends provisions in the National Internal Revenue Code regarding taxes on POGOs, PAGCOR is exclusively empowered to collect such taxes.

The law imposes a five percent tax on the gross gaming revenue or receipts of POGOs.

Capil clarified that the local government does not collect taxes directly from the POGO but receives fees from the building owner, Whirlwind Corporation, for permits including Building Permit, Electrical Permit, Locational Clearance, Certificate of Occupancy, and Surcharge, totaling P5,117,608.63 from 2019 to 2023.

“Whirlwind Corporation leases the area to Lucky South 99, which operated the POGO facility recently shut down by the Presidential Anti Organized Crime Commission (PAOCC),” Capil added.

Capil affirmed that PAGCOR did not request any amendment to the LONO for POGO operations, and his office did not renew Lucky South 99’s Business Permit for 2024 due to violations, despite PAGCOR’s claims of issuing one.

He said firmly, “I will not tolerate illegal activities in Porac. While we support legitimate BPO operations, any involvement of Lucky South 99 in illegal activities, unreported by PAGCOR, will lead to support for banning POGO operations in the country.”

Capil has backed efforts to combat POGO-related crimes in Pampanga, including endorsing a resolution by the Metro Clark Advisory Council (MCAC) supporting actions to halt POGO applications and those of their BPO service providers in the Metro Clark Area.