PAGCOR Tax Reforms Cut Live Sports Wagering Rate to 15%

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The Philippine Amusement and Gaming Corp (PAGCOR) has trimmed the regulatory take on live sports wagering to 15% of gross gaming revenue, down from 17.5%, a change the agency says is “retroactive to the November 2025 billing period”. 

Male placing a live sports betting as the tax reform comes in

Key Takeaways:

  • PAGCOR reduces live sports wagering tax rate from 17.5% to 15%, retroactive to November 2025
  • Industry’s online segment drives 26% revenue growth in first half of 2025
  • Regulatory shift aims to enhance fiscal fairness while tightening compliance

According to iGamingBusiness, The board approved the amendment in early January and maintained a 30% charge for virtual sports. PAGCOR framed the tax reform as part of efforts to “address the gaps in the current fee structure and uphold the principles of fairness, accountability and fiscal responsibility”.

Tax Reforms Tighten PAGCOR’s Fee Framework

The rate revision follows wider fee reforms that include steep minimum guaranteed payments for licensed system administrators, measures PAGCOR described as strengthening oversight and revenue certainty.

Industry data show the online segment has become the dominant growth engine: first‑half 2025 gross gaming revenue rose by 26% year‑on‑year to PHP214.75 billion, with e‑gaming contributing more than half of that total. 

The tax reform also comes as PAGCOR tightens its responsible gambling framework amid the rapid expansion of online betting.

Analysts and sector reports point to rapid mobile adoption and a young, digitally native player base as key drivers of continued expansion with Cardinal Pablo Virgilio David condemning it as a “moral and social crisis”, per Yogonet.

Scrutiny Rises as Online Wagering Surges

PAGCOR’s leadership has framed the package as building a more resilient, transparent regulatory regime. “Regulation is not about avoiding discomfort,” PAGCOR chief Alejandro Tengco said in a public address at ICE Barcelona this year. 

Operators should expect tighter compliance obligations alongside the revenue changes as the regulator balances fiscal aims with market growth.