Which country is difficult to operate a casino in?
The world is not such that if you have money, you can just open a casino and definitely have customers come in; it's not like that. Even if customers do come, there are many other factors to consider.
Tenth place, Morocco.
Morocco imposes a 7.5% tax on casinos, plus value-added tax, other local taxes, etc. The monthly salary of a dealer is about 5000 to 7000 Moroccan Dirhams, which is about 500 to 700 US dollars, and that's per month, which is actually quite little.
Of course, this is a range, and it also depends on how long you have worked in the casino.
Most Moroccan casinos are not open 24 hours, they close at around 2 AM. Moroccan casinos mostly rely on European tourists, but what's so special about them that attracts people?
There really isn't anything, so it's hard to attract some higher-end customers.
It might just be those small-time tourists playing around. Besides the main city casinos, it's actually hard to attract tourists to other places, so it's relatively difficult to operate.
Since I've said this much, but why hasn't it closed down yet?
Because they actually really want to support the casinos, there's income. So their taxes are relatively low, 7.5% is actually not very high.
But there are other taxes, and when added up, compared to other countries, it's still considered low.
Ninth place is Nepal.
Nepal imposes a 25% corporate tax on casinos, plus an annual license fee.
The salary of a dealer is about 20,000 to 30,000 Nepalese Rupees, which is about 170 to 250 US dollars per month.
Originally, Nepal's casinos were open 24 hours, but due to these cost issues, they have been reducing operating hours. Moreover, their transportation and tourism infrastructure is really not sufficient.
So attracting large VIPs, wealthy customers might not come here.
The most important thing is, the policy is unstable, so it affects a lot of investors' confidence. Also, the gambling regulations often change, so it makes investors hesitate even more.
If you ask me if I would open a casino in Nepal if I had the money? I think I wouldn't.
And the most fatal thing is, Nepalese casinos do not allow residents to play.
So they only rely on tourists, but if you don't have tourists, it's bad. Also, the market demand is relatively small, neighboring countries like Macau, India, they take away the customers. Who would come here?
Eighth place is South Africa.
South Africa's tax on casino revenue is actually very low, only 9%. But they also have to pay 28% corporate income tax.
I'm not an accountant, so I'm not very clear on how much the taxes are. The salary of a casino worker is about 10,000 to 15,000 South African Rand, which comes down to about 650 to 1000 US dollars. Most casinos are open 24 hours.
What difficulties do they face? It's the tax aspect, and also the very large wealth gap among residents.
So going to casinos is just for the wealthy. Poor people wouldn't go to casinos for no reason, and even if they did, they wouldn't play much. Or maybe there are tourists. But the security in South Africa is not very good. So many international tourists are afraid to enter casinos. I don't know if you would dare to go.
Seventh place is Malaysia.
I thought Genting would also make money, but Malaysia also has heavy taxes. The tax on casinos is 25%, but that's just the corporate income tax. There's also an entertainment tax.
The monthly salary of a dealer is about 2500 to 3500 Malaysian Ringgit, which is about 600 to 850 US dollars. Sorry if I said it wrong. Operating hours are 24 hours.
What challenges do they face? What difficulties are there?
Actually, those who have been there know, Genting has a lot of customers. First of all, it's about religious issues, secondly, if you're not a resident, you can go in and gamble, but actually, the number of locals is not very high. So it greatly limits the development potential of the local market.
They also rely on tourists, usually from China and Singapore. Of course, the economy has been unstable recently, there was a pandemic before, and there were policy changes, everyone knows. So it caused a significant drop in casino revenue.
And the taxes are quite heavy, so it's also a burden for the casinos, and there's competitive pressure.
In the region of Singapore, Malaysia, and Thailand, you can take a short flight to Singapore, then another short flight to Macau. There are actually many places for people to choose from, so it further hits their casino market.
Sixth place is Vietnam.
The taxes in Vietnam are really heavy, Vietnam imposes a tax of up to 35% on casino revenue. Plus another 20% corporate income tax. The monthly salary of a dealer is about 5 million to 7 million. But originally converted back to US dollars is just about 220 to 300 US dollars.
Some casinos are open 24 hours, some start closing in the early morning. They do not allow locals to enter, only relying on tourists. Again, most of the gamblers are from China.
Because of those policy changes and the previous pandemic. So it caused a significant drop in casino revenue. Vietnam's regulation of casinos is very strict, so it makes it very difficult to operate.
Fifth is Australia.
How much tax the casino pays varies by state. Everyone who has been to Australia knows, there are several casinos in different states. I've been to one of them, but it's actually hard to tell you how much tax they collect.
But it can be said, the range is about 20% to 30%. Plus another 30% corporate income tax. Most casinos are open 24 hours.
What challenges do they face?
They are very strictly regulated, preventing things like money laundering. They keep asking you "Where did the money come from?" It seems like if you change a bit more money, they come and whisper in your ear. Asking you where the money came from, "Where's your income proof?" "Bring out the evidence!"
It's very troublesome, so many people hesitate and don't want to go. And their operating costs are very high. If you have been to a casino in Australia, you know it's done very beautifully.
Of course, maybe just the cost of one light I think is enough for me to eat for a year! Australian wages are relatively good, plus overtime hydration, holidays are calculated separately.
Fourth place is Cambodia.
I don't know when I heard, if you win money in a casino in Cambodia, you have to be careful when you walk out the door. There will be people following you, robbing your money.
Whether it's true I don't know. But here's a new system called "midfield".
This is a new system implemented in 2023. The tax on midfield revenue is 7%. Then there are VIPs, which are taxed at 4%. Plus corporate income tax, which is 20%. The salary of a dealer is about 200-300 US dollars a month, very cheap.
Cambodia has recently strengthened the regulation of the gambling industry. Requiring casinos to comply with stricter rules.
For example, installing surveillance technology, implementing anti-money laundering regulations, etc. These things increase the operating costs of casinos. For small casinos, the impact is very obvious. Some can't stand it and have closed down.
There's also one thing, over-reliance on Chinese gamblers. After China's severe crackdown on overseas gambling, a large number of Chinese tourists were lost. Causing a significant drop in casino revenue.
For example, in Sihanoukville, they rely heavily on Chinese investors and Chinese gamblers. But because of the crackdown, many casinos are facing the risk of closure. And the market competition is very fierce. I don't know why Cambodia has issued a lot of gambling licenses. Making many casinos easy to open. More casinos mean more choices, so it's even harder to operate.
And opening many are not high-end good-looking casinos. So it's hard to attract VIP customers to play.
Third place is Japan.
Japanese casinos have not yet opened, but it is already clear that many difficulties will arise.
After the "Integrated Resort Promotion Law" was passed in 2018. It is allowed to build a casino in Dream Island in Osaka. But their tax will be 30%. Plus corporate tax local tax, totaling up to 38%.
I'm very clear that Japan is very strict about taxes. How much will the dealer earn, it is not known yet, because it has not opened.
But if calculated on average, about 200,000 to 300,000 Japanese yen per month. This is a very standard calculation, the monthly salary for working in Japan. About 1500 to 2300 US dollars.
Actually in Japan. Buying things is cheap, eating things is cheap. The casino is expected to operate 24 hours. Also, everyone knows, Japan is very strict about many things. Japanese nationals can also go in and gamble.
But every time they charge a 6000 yen entry fee. So local customers might be fewer.
They might have to rely on foreign tourists. And there are still many opposing voices in society. So even though the casino has not opened, it has already felt the pressure of operation.
Second place is South Korea.
The taxes in South Korea are not too high, only about 10%. Corporate income tax is divided into several brackets. There are 9%, 19%, 21%, 24%. Plus local income tax is about 10%. The salary of a dealer is about 1500 to 2000 US dollars.
Usually, casinos can operate 24 hours. And they restrict locals from playing.
Except for one, which is the Kangwon Land Casino. This one allows Koreans to play.
Still that sentence, many casinos do not allow locals to play. So during the pandemic, it was very affecting the casino's revenue. Plus the market competition is very big. Fly a while to Singapore. Then fly a while to Macau. Fly a bit longer, you can go to Australia.
Later Japan will also open casinos. And society is generally more negative about casinos. Maybe places in Asia are more conservative.
First place! I think you might not have guessed. It turns out to be difficult to operate. It's Singapore.
Starting from March 2022, the tax on VIP gamblers. Not asking gamblers for tax, but the income tax levied on VIP rooms. Is as high as 8%. Want to earn a bit more is not possible.
If the annual income exceeds 2.3 billion US dollars, this tax will increase to 12%.
The income tax levied on ordinary gamblers is 18%. If the annual income exceeds 2.3 billion US dollars, the tax rate increases to 22%.
Want to earn a bit more is also not possible. The salary of a dealer is about 1300-1500 US dollars a month. I thought it was about the same as Australia, but it turns out to be so much less.
