Posts Tagged ‘Obamanomics’

Online Gambling May be Taxed in Costa Rica

Monday, August 31st, 2009

To this date, online gambling is completely legal in Costa Rica yet is not the subject of any government regulation or taxation. How a federal government can go this long without noticing a cash cow like that I don’t know. As an American, I certainly can’t fathom it. The U.S. government long ago figured out that they can make a killing off of marriages and deaths. Since most people get married at some point and everyone dies, the government decided taxing and selling licenses for both would be a great way to make money. And of course the current push in Congress to legalize online gambling has less to do with civil liberty than with giving the government beast more to devour.

Costa Rica, on the other hand, stands out as a shining example of a government that allows its people the freedom of online gambling without taking advantage of it for their own financial gain. However, in this global recession, all bets are off. That shining example may be no more. According to the newspaper AM Costa Rica, the finance ministry is planning to levy a tax on online casinos located in the country. The government estimates that they could raise up to $100 million by adding a tax to online gambling.

Opponents of the proposed new tax state that the burden placed on the online casinos could create more unemployment, with online casinos being an important part of the Costa Rican economy. The online casino industry is estimated to directly and indirectly provide 10,000 jobs within the country. Adding a new tax to an industry that, like most industries, is already hurting just doesn’t seem like a good idea. I would criticize the Costa Rican government for this power grab, but since my government has taken over the automotive and financial industries and has taken aim at healthcare, I don’t really have room to talk. So good news, Costa Rica: At least you’re not victim of Obamanomics.

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