Sands Bethlehem Won’t Pay The Sum Of $10 Million Fee Unless It’s Necessary

sheldon adelson

sheldon adelson

Sheldon Adelson, Sands Bethlehem proprietor is not the type of man who easily pays his money away when he does not really know why he has to do so. He was needed to pay $10 million to Pennsylvania State as a tax requirement. However, he is not going to pay the money unless obliged by law.

He got the relief after the Supreme Court in the state pointed out that the tax imposed on the casino violates the constitution. Precisely, in September 2016, the high court asserted that tax imposed on the casino violated what is referred to as Uniformity Clause.

It is in 2006, when the Keystone State approved gambling casinos known as standalone to give a certain percentage, 2% or $10 million from their annual revenue and pay is as tax to municipalities where they are established.

Since that time, making real money casino gambling sites have become popular in Pennsylvania State, but several casinos have had a tendency of boycotting the tax with some trying to negotiate what they are supposed to pay.

The challenge has always been that no single gaming resort or casino for that matter has ever realized $500 in any specific year. As a result, these casinos have not been able to attain the required tax bracket.

Unfortunately, most local governments and municipalities rely on these gaming spots, making them the biggest sources of their revenue to run various sectors.

Interestingly not all casinos in the State follow Sands Bethlehem’s model. Others comply and pay to the municipality on temporal agreements. Sands Bethlehem maintain that they are not ready to give away their money easily but would want to respect the law that governs the state.

Continued Delay

Although the ruling made in September was suspended for 120 days, giving municipalities and stakeholders a chance to discuss the way forward, the Uniformity Clause suggests that all casinos in Pennsylvania should agree to pay as usual.

Because the General Assembly failed to make necessary amendments, giving casinos a relief, it would not be forever until a solution is reached.

For now, the legislation has almost 4 months until April 15 next year to ensure that gambling enterprises know what they are supposed to give to their hosts.

A Time To Fix

Although it seems simple to many, it is not easy. Trying to find a solution on how all gaming facilities can pay what amount to the state is not easy according to Pat Browne, the State Senator.

He says, “We do not have any guarantee. However, we’ll try as hard and quick as we possibly can to fix the problem.”

In the closing months of 2016, most gambling establishments have recorded high returns, but that has not for 12 casinos that are land-based in Pennsylvania. In aggregate, they recorded $249.6 million, which is 1.4% less when compared to the same period in 2015.


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