New gambling bill put forward to regulate gambling sector in the Dominican Republic
President Luis Abinader has submitted a bill to the National Congress aimed at regulating and supervising the gambling sector in the Dominican Republic, while also establishing mechanisms to prevent money laundering.
Key points of the bill include strict regulation on the use of slot machines, which will only be permitted to operate legally in casinos, hotels with one to three stars, and sports betting outlets. The initiative includes penalties for owners who install these machines in corner stores, entertainment centres, and amusement venues.
Regarding the tax regime, it is proposed that casinos with between one and 15 tables pay RD$55,853 for each table, while those with more than 36 tables will have to pay RD$85,927 per unit. Additionally, each slot machine will be subject to a 5% monthly tax on gross sales.
Central to the proposal is the creation of the General Directorate of Gambling (DGJA), which will serve as the regulatory authority for the sector and will be responsible for granting operational licenses for a total of 15 defined modalities of games as outlined in the regulation.
These modalities include casinos, sports betting outlets, lottery outlets, national lottery draws, traditional and electronic bingo, charitable and non-charitable raffles, as well as virtual and online gambling, among others.
The initiative also includes a transitional provision, establishing a fixed fee of RD$14,000 per month for each slot machine, until tax authorities implement a technological system that allows for precise calculations of generated income.
The gambling industry in the Dominican Republic was the focus of a major corruption case in 2023 involving more than a dozen politicians and former cabinet members. According to the accusation, in the period 2016-2020, senior officials constituted a network of illegal collections that may have amassed as much as US$360 million, making it the largest case of corruption in the Dominican Republic.
