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PAGCOR expands rebate rules for slot machines and electronic gaming

The amendments set new limits on player incentives across licensed gaming operations.

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Key Points
PAGCOR has amended casino regulations to allow rebate incentives for slot machine players
Land-based casinos may offer up to 1.4% cash rebate from a 1.5% turnover-based slot machine incentive
Separate electronic gaming rules allow cash rebates of up to 1.5% of turnover or cashback of up to 15% of net losses

The Philippine Amusement and Gaming Corporation (PAGCOR) has expanded its rules governing player rebates and cashback programs across land-based casinos and electronic gaming operations.

For licensed land-based casinos, PAGCOR approved an amendment to Regulation 17 of its Casino Regulatory Manual on October 8, adding slot machines to existing rebate and rolling commission provisions. 

Under the revised framework, slot machine players may receive incentives equivalent to 1.5% of turnover. This consists of a maximum 1.4% cash rebate, with up to 0.2% available for incentive commission, provided the combined amount does not exceed the overall 1.5% limit. 

The amendment also retains existing rebate arrangements for gaming tables. Non-junket VIP or high-roller players may receive incentives of up to 1.35% of net turnover, while junket players are subject to a 1.5% maximum.

Separately, PAGCOR introduced guidelines in May covering cash rebate and cashback programs for electronic games. These allow rebates based on turnover or deposits at a maximum rate of 1.5% for slot machines, electronic bingo, numeric games and sports betting. Casino table games and arcade-type games are excluded from this provision.

Operators may alternatively provide cashback of up to 15% of a player's net losses across electronic games.

Programs must receive regulatory approval before implementation and include details such as deposit requirements, wagering conditions, rebate or cashback rates and settlement terms.

PAGCOR also requires these incentives to be recorded separately as marketing expenses. They cannot be treated as gaming losses or deducted when calculating gross gaming revenue.

Good to know

Player incentives cannot be deducted when calculating gross gaming revenue

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