The annual Calgary Stampede is one of the most famous events in the region, and literally every Calgary person is familiar with it. This unique business combines private ventures, including gambling and casino provision, land, youth programs, and agricultural education.
The company, which is known to earn about C$150 million a year, is legally known as Calgary Exhibition and Stampede Inc. The board of directors, most of whom are appointed by shareholders of the organization, is involved in controlling the company. He is also famous for running a wide range of businesses, including non-profit organizations and charities. 온라인카지노사이트
Currently owned and operated by Calgary Stampede, Cowboys Casino is one of the most popular businesses. The gambling facility is owned by Stampede Casino Limited Partnership, formed in turn by Calgary Stampede GP Inc. and Calgary Stampede Trust.
The Cowboy Casino remains an important part of the Calgary Stampede structure
Some may be surprised that businesses like Calgary Stampede also include gambling services through casinos.
But as CBC News revealed, business professor Bryce Tingle at the University of Calgary explained that the latter is in fact an important part of the Stampede structure. According to Professor Tingle, the casino business provides a tax-efficient way to divert potential mid-level taxation by returning money from a profitable gambling business to its parent company.
Even better, the casino business guarantees protection for the Stampede, because non-profit organizations cannot be held responsible for problems that can arise from gambling ventures that can include situations ranging from legal action to bankruptcy.
As mentioned above, Calgary Stampede is a non-profit organization. Last year, the venture reported total revenue of about C$142 million from its own activities. It also received a C$7.7 million grant from the Alberta government. This means total revenue exceeds C$150 million, and a 10-day summer event brings half of that amount. In 2017, the event generated a total income of C$78.2 million, up from the results posted in 2016.
Event services and facility rentals accounted for the second-largest portion of Calgary Stampede’s total revenue in 2017, and the Cowboys casino business was the third-largest source of revenue, contributing about C$14 million.
When it comes to Calgary Stampede’s net income, the situation is different. The organization’s casino business contributed C$1 million in profits only in 2017 after paying taxes and other expenses. Stampede’s event-hosting business, on the other hand, grossed a total of CA$12 million, and in 2017, a 10-day summer event contributed CA$20.9 million more.
8 replies on “Calgary Stampede uses casino business to bypass interim taxation, university professor says”
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