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CEO of the American Gaming Association Opposes New US Gambling Tax Proposal
Thursday June 18,2015 : A.G.A. CHIEF OPPOSES NEW U.S. TAX PROPOSALS (Update)
Freeman tells hearing that operators are not in favour of tracking proposal.
Geoff Freeman, CEO of the American Gaming Association, told a hearing on new IRS tax proposals Wednesday that his membership was not in favour of the taxman's plan to use player loyalty cards in electronic tracking for tax reporting purposes.
Freeman said that such a project would create very significant challenges because the complex marketing systems involved were not designed or equipped for this purpose, and it would be badly received by casino customers. He also pointed out that the proposal is inconsistent with existing state requirements.
“While we recognize the IRS’ concerns and objectives, we question the need to impose mandatory, across-the-board use of the player-tracking tool for tax reporting purposes,” the gaming executive said.
“Rather than mandating across-the-board use for tax reporting, we believe a more targeted approach is possible for achieving the IRS’ objective.”
Freeman went on to propose the creation of a voluntary electronic player tracking plan that could be used for slot tax reporting, provided that casino operators are given sufficient lead time.
The Association reiterated its opposition to an IRS proposal that the tax reporting threshold for winnings be slashed by half to just $600. So far there have been 13,000 objections to this proposal since it was first publicised in March this year.
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