Macau’s six gaming concessionaires received a combined HK$150 million ($19.2 million) in levy reductions in 2024, linked to gaming revenue generated by foreign players in Macau, according to a government budget execution review discussed at the Legislative Assembly.
The Legislative Assembly’s Second Standing Committee examined the 2024 budget implementation report during a meeting attended by Secretary for Economy and Finance Tai Kin Ip.
According to Macau public broadcaster TDM, committee chairman and lawmaker Ip Sio Kai said the levy relief was granted under provisions of Macau’s revised gaming law, which allow the government to reduce up to 5 percent of gross gaming revenue-related contributions associated with gaming activity generated by international visitors.
Under Macau’s gaming regime, casino operators are subject to an effective gaming tax rate of 40 percent on gross gaming revenue. This consists of a 35 percent direct gaming tax and an additional 5 percent in indirect levies, commonly referred to as special contributions, comprising 2 percent allocated to public funds and 3 percent earmarked for social security purposes.
To attract international visitors, the government issued an administrative regulation in 2023 that set out detailed rules to reduce special contributions on gross gaming revenue generated by foreign players in Macau. Under this mechanism, qualifying gaming revenue from international patrons may receive a reduction of up to 5 percent in special contributions.
Macau gaming operators have established designated gaming zones for international visitors within their casinos, with only gaming activity conducted in these areas qualifying for levy reduction calculations.
Based on official settlements, the six concessionaires received approximately HK$150 million ($19.2 million) in levy relief in 2024, linked to about HK$3 billion ($385 million) in gaming revenue generated by foreign players. This represented roughly 0.17 percent of Macau’s total casino gross gaming revenue, which stood at MOP226.78 billion ($28.34 billion) for the full year.
The finance secretary stressed that the relief applies to contributions outside the core gaming tax and does not constitute a reduction in gaming tax revenue.
The levy relief framework is part of Macau’s broader regulatory structure under the new gaming law and is intended to encourage operators to attract more international visitors, supporting the government’s objective of diversifying the city’s visitor mix and reducing reliance on a single source market.
