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Senator Gatchalian wants to impose taxes on “online sabong” (Sabong Arena)

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Online Sabong Tax
Genre Sabong Arena
Keywords Online Sabong Tax
Article ID 00000520
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“Online Sabong” is defined as remote or off-site wagering or betting on live cockfighting matches, events, and/or activities streamed by the local government unit (LGU) in control of the event. “Sabong,” or making bets on live cockfighting, is a long-standing practice in the Philippines that dates back over three thousand (3,000) years. With the rise of technology, it has progressed to the popularity of online forms where patrons may place bets or “Online Sabong,” which became more popular during the COVID-19 pandemic when actual cockpits were closed. Live cockfighting is regulated by the local government, whereas Online Sabong is regulated by the Philippine Amusement and Gaming Corporation (PAGCOR), which charges Online Sabong operators a fixed regulatory fee of only ₱12,500 per fight or a minimum guaranteed fee of ₱75 million per month, whichever is higher, under the current system. Senator Sherwin Gatchalian has filed Senate Bill No. 2281 or “An Act Imposing Taxes on Offsite Betting Activities on Locally Licensed Cockfights and Derbies” Senator Gatchalian noted in his explanatory note that “with the growing popularity of Online Sabong, which means more profits for the operators and lower tax revenues from other gaming operations, a clear tax system for Online Sabong is needed.”

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