Japan Reaffirms Tax-Free Casino Winnings for Foreign Players Ahead of Integrated Resort Launch

Japan’s governing coalition has once again confirmed its intention to exempt overseas casino patrons from paying taxes on gambling winnings, reinforcing a long-standing policy designed to boost inbound tourism and attract international investment.

The commitment was reiterated in December during fiscal policy discussions between the Liberal Democratic Party and the Innovation Party, reviving measures that were first put forward several years ago.

The exemption for non-resident casino players was originally included in a reform proposal unveiled in 2020 and has now been reaffirmed as Japan moves steadily toward the opening of its first integrated resort. By keeping gambling winnings tax-free for foreign visitors, the government aims to strengthen Japan’s appeal as a regional casino destination in Asia, where international tourists are a critical driver of resort revenues.

The renewed policy announcement is closely tied to preparations for MGM Osaka, the country’s first officially approved casino resort, which is slated to open in autumn 2030.

Clarifying the tax treatment of foreign players well ahead of the launch is widely seen as a key step in ensuring smooth operational planning and providing certainty for investors. The move also represents one of the first significant policy signals under Prime Minister Sanae Takaichi, whose administration has voiced firm backing for the integrated resort programme.

In addition to taxation measures, the government has also outlined its intentions for further expansion of the casino industry. A draft cabinet order released in December proposes May 6, 2027, as a provisional starting date for a new application window for integrated resorts.

This would give additional local authorities the opportunity to submit bids, potentially paving the way for casino developments beyond Osaka.

While the sector has faced setbacks in recent years, including delays and escalating construction costs, the renewed emphasis on a favourable tax regime and the introduction of a clear timeline for future applications indicate that Japan remains committed to developing a tightly regulated yet globally competitive casino market over the long term.

By fLEXI tEAM