Philippines House OKs online cockfighting tax, Senate to have final say

Online cockfighting continues to gain momentum in the Philippines. The House of Representatives have approved Bill 8065, pushing ahead a measure that would tax offsite betting on locally licensed cockfights and derbies.

By a vote of 215-1, the bill easily passed the house. If it becomes a law, it would amend section 125 of the National Internal Revenue Code of 1997. House Ways and Means Committee Chairman Joey Salceda believes the new e-sabong tax would not be “causing any economic harm.”

“Wagering is a demand inelastic non-essential…The operations of online betting on sabong are authorized by local ordinances. Because of the digital shift, there are now electronic betting operations on such games. But the electronic aspect of it is a gray area, even though the airwaves is national property,” Salceda said.

If the Senate also passes the bill, online cockfighting and derbies would be taxed at 5% of their gross revenue. Local government units can still levy their own taxes, as well as regulators like PAGCOR collecting their regulatory fees and charges.