Vietnamese citizens will no longer be prohibited from playing at local casinos under a three-year pilot program introduced by the government on Friday. The partial lift on a long-standing ban that prevented local players from entering domestic casinos would allow them to visit and play at two properties – one on the Phu Quoc island and the other in the Quang Ninh province.
The country’s government confirmed a mid-March date for the beginning of the three-year pilot program. Said three-year period will help lawmakers determine whether the ban should be removed permanently.
According to multiple studies conducted over the years, Vietnam has been losing millions in tax revenue due to the fact that players have been playing at casinos in neighboring countries or have been placing illegal bets.
Vietnamese citizens will have to meet certain requirements in order to be allowed to enter local casinos. They will have to be aged 21 or over and to be able to prove that they have monthly income of no less than VND10 million ($443).
It is believed that if the ban is lifted permanently, local casinos will be able to cope with the heavy taxes imposed by the government more easily. Under Vietnamese laws, casinos in Vietnam are required to pay a consumption tax of 35% and a corporate income tax of 20% every year.
As mentioned above, it has become a common practice for Vietnamese players to travel to neighboring countries to play at their casinos. It is believed that the three-year pilot program may have quite a negative effect on gambling venues located near the Vietnamese borders.
Although the pilot program currently involves two casinos, there is no exclusive provision in it that prohibits other interested casinos from joining. In other words, more gambling venues may be included, if the initiative yields the desired results. The Grand Ho Tram Strip casino complex has been pointed by analysts as the likely candidate to join the program. However, the government has retained the option to cancel the program, if it finds it necessary, just as it has retained the option to expand it even further.
