Peru looks to tax remote gambling
Peru’s tax move, Brazil tech standards, Colombia lottery contributions, Chile casino +Más
Peru’s government wants remote operators to pay sales consumption tax.
In +Más: Betsson Q1 results, Codere defers bond payments.
Brazil: SPA publishes technical standards for online gaming operators.
Colombian lotteries increase their contributions to health sector by 8%.
Chile: SCJ grants Casino Patagonia permission to operate Natales casino.
There goes the shirt right off my back.
Peru’s tax move
In select company: The government of President Dina Boluarte has requested that Peru’s Congress subject remote gambling to the Selective Consumption Tax (ISC) and that it makes an amendment to the General Sales Tax (IGV) la
w to include “those operations carried out with non-domiciled suppliers or intermediaries of goods and services within the framework of the digital economy.”
Among the financial matters the government intends to legislate, it stated, is “incorporating remote gaming and remote sports betting into the scope” of ISC.
ISC is applied to the value of consumer goods that present, or may present, negative externalities, i.e. those goods that can have an adverse effect and may entail a cost to society.
Included in this category are slot machines and casinos, along with the likes of alcohol, tobacco and gasoline.
We know where you live: The government also said it wants to “establish a mechanism for collecting IGV” for operations carried out by suppliers or intermediaries of goods and services not domiciled in Peru within the framework of the digital economy, and adapt it to current market conditions “following, among other criteria, the recommendations established by the OECD.”
Congress will debate the executive’s request this month and is expected to approve it. After which the government will have 90 days to present the new laws and legislative modifications.
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+Más
Swedish operator Betsson has reported revenues of €248.2m ($267m) for Q124, representing a growth of 11.9% compared to the same period in 2023. Pre-tax profits grew 33.3% to €54.5m and operating revenues reached a record high, increasing by 35% to €57.9m.
While Western Europe revenues surged 59.9% to €43.4m, and Central and Eastern Europe and Central Asia grew 18% to €110.2m, the Nordics and Latin America fell by 9.6% to €46.9 m and 3.3% to €43.7m, respectively.
The company said the decline in LatAm revenue was due to the economic situation in Argentina.
My word is my bond: Codere has reached an agreement with its bondholders to defer payments and, thus, avoid the company from defaulting. The group still needs to complete its financial restructuring, announced on March 18, which is now due by June 30.
In a series of operations to combat illegal gambling, the Dominican Republic National Police has seized 18 slot machines in Santiago.
The Mexican Congress is to debate a proposal from a collective known as ‘Gamers X Mexico’ to classify esports as a sport.
Brazil technical standards
Safety first: The Prizes and Betting Secretariat (SPA) of the Ministry of Finance of Brazil published Ordinance No. 722 on Monday, which contains the technical requirements for future operators of sports and online betting. The ordinance is part of a set of rules aimed at regulating fixed-odds betting in the country, with its primary objective to provide security for players.
To this end, it establishes the technical and security requirements of betting systems and their sports-betting and online gaming platforms. These requirements refer to the technological infrastructure of betting systems, which, like data centers, operators must maintain within Brazilian territory.
Sign of the times: Such systems and data can only be hosted outside the territory if they are in countries that are signatories to the International Legal Cooperation Agreement with Brazil in civil and criminal matters jointly and from compliance with the provisions of the General Data Protection Law (LGPD) - Law No. 13,709/2018.
The ordinance establishes transparency criteria regarding the security of bettors and for this purpose indicates that operators must “grant full access to betting systems to the inspection units and agents” of the SPA at any time.
The regulation also establishes that operators have an obligation to submit to the SPA data related to bets, bettors, bettor portfolios, legal destinations and any information requested by the secretariat.
Colombian lottery contributions
Take a chance on me: In Q1 this year, lottery games, chance and Scratch&Win transferred $37.7m to Colombia’s public health systems, an 8% growth compared to the same period last year. Coljuegos president Marco Emilio Hincapié said the increase was due to the joint efforts of the games’ operators and the National Council of Games of Chance and Gambling that he presides over.
“We are providing guarantees to strengthen the industry in the territories and increase the funds for health,” he said.
Of the funds transferred, $19.5m came from chance draws and $15.6m from lotteries, while Scratch&Win contributed $2.4m.
So far this year, chance has paid out $61.1m in prizes, lottery $44.1m and Scratch&Win $7.7m.
Keep it legal: “We invite all Colombians to play chance, lotteries and Scratch&Win only at authorized points of sale,” said Hincapié. “Playing legally helps us to continue increasing transfers to subsidize the health of citizens with scarce resources.”
Casino Patagonia licence
Take for granted: The Resolutive Council of the Superintendency of Casinos of Chile (SCJ) has granted Casino Patagonia permission to operate a casino in the commune of Natales, Magallanes Region and Chilean Antarctica.
The SCJ noted casinos that renew or are awarded the operating permit must annually pay municipalities an amount in addition to that provided for by specific taxes on their gross income and visits received.
Casino Patagonia submitted an offer of $203k and, as part of the special conditions established, it must also build a work with tourist impact, representing an investment of at least $120,000.
The tender process for municipal casinos was reactivated in 2017, but Puerto Natales and Arica did not receive any proposals.
Faced with this, the authorities modified the requirements to attract investors, but without results until now.
Publication schedule
This is the English version of the LosIngresos+Mas newsletter published yesterday (May 8).
An +More Media publication.
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