The Tax Framework for the New Rota International iGaming License (2025 Update)
- Tradepass International Tax LLC
- 3 days ago
- 3 min read
If you’re exploring the Rota iGaming license (sometimes referenced as the Rota online casino license), here’s the operator-focused tax picture you need—what’s due locally in Rota, what’s due CNMI-wide, how timing works, and how these pieces fit together for effective tax planning around Rota iGaming tax.
1) What’s new in Rota
Rota’s casino rules were updated in 2024 to expressly cover online operations (websites and internet-accessible apps). In 2025 the Commission granted conditional licenses that include online gaming authority, confirming the regime is currently live.
2) Rota-level taxes and fees (operator)
a) Rota Gaming Tax (core gaming levy). Rota imposes 10% of Gross Gaming Revenue (GGR). GGR is defined as all sums received as winnings minus all sums paid out as losses (with specific tournament-fee adjustments). Ordinarily this is filed monthly; for online operations, the regulation allows the Commission to require payment at the time of each player deposit. Late-payment penalties accrue at 5% per month (compounded).
b) 1% Gross Revenue Surtax. Rota law adds a 1% gross revenue surtax (separate from the 10% GGR levy) and states the gambling revenue tax is payable monthly (statute says by the 7th; the regulation says by the 10th—operators typically follow the earlier date when in doubt).
c) Website/app license fee. Each approved gaming website or internet-accessible app pays an annual $2,500 license fee to the Commission.
Player-location rule (important for tax & compliance): Online play must exclude users located in any U.S. state or territory outside the CNMI, and the Commission may designate other blocked locations. Build geofencing/KYC around this.
3) CNMI-wide taxes that still apply to Rota operators
a) Business Gross Revenue Tax (BGRT).All CNMI businesses owe BGRT on total yearly gross revenue at graduated rates up to 5% (combined schedule). Gaming businesses file the monthly OS-3105 plus the OS-3105a-1 “Schedule of Gross Revenue for Gaming Activity.” BGRT paid is available as a non-refundable credit against CNMI income tax (NMTIT) liability.
b) CNMI “mirror” income tax (NMTIT). Corporate income tax mirrors the U.S. Internal Revenue Code and rates; file Form 1120CM (or applicable form) with the Division of Revenue & Taxation. Credits (including BGRT credit) apply per CNMI rules.
c) Winnings/jackpot taxes (player-facing). CNMI law imposes a 30% gaming-machine jackpot tax in general, but winnings in a licensed casino are excluded from this machine-jackpot tax. Where applicable, CNMI rules also require withholding on gambling winnings ≥ $1,000. Online casino operators should coordinate with DRT on W-2GCM reporting for qualifying payouts.
4) Putting it together (typical stack)
Rota level: 10% Rota Gaming Tax on GGR (potentially collected at deposit for online), + 1% gross revenue surtax.
CNMI level: BGRT (graduated up to 5%) on gross revenue (use OS-3105 + OS-3105a-1 for gaming), then NMTIT on net income with available non-refundable credits (including BGRT).
Note on timing:• Rota GGR tax: regulation says by the 10th of the following month; statute references by the 7th—conservatively target the 7th unless the Commission confirms otherwise. For web gaming, the Commission can require paying the 10% at each deposit (cash-flow/tax-ops implication).
5) Compliance checklist (operator)
Rota Casino/Online License & annual website fees in place.
Monthly Rota tax remittances (and any deposit-time payments for online).
BGRT monthly filings with OS-3105 + OS-3105a-1.
NMTIT annual corporate return (1120CM or applicable) and credit claims.
Player-location controls (geofencing/KYC per Rota rules).
Winnings reporting/withholding where applicable (e.g., W-2GCM).
Final takeaways
The Rota iGaming tax backbone is 10% of GGR, plus a 1% gross revenue surtax at the local level.
BGRT + NMTIT still apply CNMI-wide—with BGRT credit usable against NMTIT.
For online, plan cash management for deposit-time tax collection if the Commission requires it, and implement strict player-location controls.
Launch under the Rota iGaming license—confidently.
Work with Andrea Ricci, CPA (WA License 57269), founder of Tradepass International Tax LLC, specializing in international tax strategies, global iGaming taxes, and financial compliance for the Rota online casino license. Contact Andrea Ricci CPA to get free consultation about the new Rota international iGaming license and discover how it compares to other online casino licenses in Anjouan, Costa Rica, Gibraltar or Kahnawake.
