83.9 F
Charlotte Amalie
Monday, July 4, 2022
HomeNewsArchivesV.I. REAPS $850K FROM GAMBLING TAXES

V.I. REAPS $850K FROM GAMBLING TAXES

The V.I. government will collect more than $850,000 off gambling revenues generated from the casino at the Divi Carina Bay Resort in its first nine-and-a-half months of operation.
From March 14, 2000, when the Divi, St. Croix’s first – and so far only – casino opened, to Dec. 31, 2000, the casino generated $10.8 million in taxable gross revenue. With an 8 percent tax, the V.I. government will realize $867,524, said Casino Control Commissioner Imelda Dizon at a meeting of the commission on Wednesday.
Dizon did not immediately return calls Wednesday afternoon seeking figures on the casino’s overall gross revenue or how much the casino paid out to winners in the nine-and-a-half month period.
From March 14, 2000 through the end of last June, the casino generated $12.7 million in gross revenues, 90 percent of it coughed up by local gamblers, according to statistics provided last year by Dizon. In that period, the casino paid out more than $8.8 million to winners. Total taxable gross revenue for that period was $3.8 million.
According to the Casino Control Act, the gross revenue tax is 8 percent the first two years of a casino’s operation. The rate jumps to 10 percent the third and fourth years and to 12 percent each succeeding year. Gross revenues from casino gaming are not subject to gross receipts taxes, but gross revenues generated by a casino’s hotel operation are, according to the law.
The tax money collected from casino gaming is supposed to be deposited in the Casino Revolving Fund. The money in the fund must be used exclusively for:
–– Hospitals and health, 15 percent.
–– Education, 18 percent.
–– Youth programs, 20 percent.
–– Agriculture, 10 percent.
–– Tourism and casino promotion for St. Croix, 5 percent.
–– Union Arbitration Fund, 8 percent.
–– Internal Revenue Bureau, 1 percent.
–– University of the Virgin Islands, 5 percent.
–– Casino Control Commission, 10 percent
–– Public safety 5 percent.
–– Gambling addiction programs, approximately 2 percent.

Print Friendly, PDF & Email
Keeping our community informed is our top priority.
If you have a news tip to share, please call or text us at 340-228-8784.




Support local + independent journalism in the U.S. Virgin Islands

Unlike many news organizations, we haven't put up a paywall – we want to keep our journalism as accessible as we can. Our independent journalism costs time, money and hard work to keep you informed, but we do it because we believe that it matters. We know that informed communities are empowered ones. If you appreciate our reporting and want to help make our future more secure, please consider donating.

STAY CONNECTED

20,771FansLike
4,756FollowersFollow

FROM FACEBOOK

Comments Box SVG iconsUsed for the like, share, comment, and reaction icons
Load more
The V.I. government will collect more than $850,000 off gambling revenues generated from the casino at the Divi Carina Bay Resort in its first nine-and-a-half months of operation.
From March 14, 2000, when the Divi, St. Croix’s first – and so far only – casino opened, to Dec. 31, 2000, the casino generated $10.8 million in taxable gross revenue. With an 8 percent tax, the V.I. government will realize $867,524, said Casino Control Commissioner Imelda Dizon at a meeting of the commission on Wednesday.
Dizon did not immediately return calls Wednesday afternoon seeking figures on the casino’s overall gross revenue or how much the casino paid out to winners in the nine-and-a-half month period.
From March 14, 2000 through the end of last June, the casino generated $12.7 million in gross revenues, 90 percent of it coughed up by local gamblers, according to statistics provided last year by Dizon. In that period, the casino paid out more than $8.8 million to winners. Total taxable gross revenue for that period was $3.8 million.
According to the Casino Control Act, the gross revenue tax is 8 percent the first two years of a casino’s operation. The rate jumps to 10 percent the third and fourth years and to 12 percent each succeeding year. Gross revenues from casino gaming are not subject to gross receipts taxes, but gross revenues generated by a casino’s hotel operation are, according to the law.
The tax money collected from casino gaming is supposed to be deposited in the Casino Revolving Fund. The money in the fund must be used exclusively for:
–– Hospitals and health, 15 percent.
–– Education, 18 percent.
–– Youth programs, 20 percent.
–– Agriculture, 10 percent.
–– Tourism and casino promotion for St. Croix, 5 percent.
–– Union Arbitration Fund, 8 percent.
–– Internal Revenue Bureau, 1 percent.
–– University of the Virgin Islands, 5 percent.
–– Casino Control Commission, 10 percent
–– Public safety 5 percent.
–– Gambling addiction programs, approximately 2 percent.