Legislation
Mexico – Quintana Roo approves ten per cent tax on bets
By Phil - 9 December 2016
The Congress in the Mexican state of Quintana Roo has approved a series of new taxes, including a new 10 per cent levy on games and sweepstakes, which will affect clients at betting establishments.
The new tax will be charged to players, including tourists in the state of Quintana Roo, at a rate of 10 percent on the amount they bet or the prize they win. The new tax was approved unanimously on Tuesday in order to help combat gambling addiction.
The state has been the focal point for some controversy regarding the local gaming industry and is especially important due to the fact that it is that it is the home to Cancun and a string of resorts and popular destinations such as Tulum, the islands of Cozumel and Isla Mujeres, as well as the towns of Bacalar, Playa del Carmen and Akumal.
In Quintana Roo, there are currently 10 casinos and gaming operators include Spanish gaming company Codere as well as Mexican gaming giant Caliente.
In March the Caribbean Business Coordinating (Council Consejo Coordinador Empresarial del Caribe) joined an increasing number of interest groups in rejecting the installation of casinos in tourist zones in the region. In a press conference the council outlined a comprehensive package of proposals to candidates who would be standing for the governor’s office for the elections in June.
Amongst a number of other proposals for improved infrastructure, and increased urban development the group announced that it was vehemently against the installation of casinos in Cancun as it considered them a risk to public health and safety and led to money laundering and extortion. Hotel associations have also warned that casinos in hotels would also harm the image of the local tourist industry as primarily a family destination.
While Mexico’s tourism industry has been affected by the increasing level of gang related violence Quintana Roo is becoming increasingly popular especially amongst Americans. Over 5.6 million foreigners chose to visit Mexico during this year’s first quarter and last year was a record year for tourism to Cancun.
