Legislation

New tax will be imposed on operators in Peru

Online casino gambling and sports betting will be subject to the Selective Consumption Tax which will be determined as part of the delegation of powers granted to the Executive by the Congress of the Republic, according to  the Ministry of Economy and Finance (MEF). These activities, due to generating potential harm, will be taxed with the new tax, the ministry specified.

However  the application of the General Sales Tax (IGV), starting in October of this year, to streaming platforms like Netflix and Spotify, will not apply to remote gambling and betting activities.

The Ministry of Foreign Trade and Tourism (Mincetur) approved the regulations of Law No. 31557 which regulates online gaming and sports betting in October 2023. All companies whether national or foreign, must adapt to the new regulation and comply with the correct payment of the special gaming tax, which tax stands at 12% of the net profit. However, the tax rate for the new Selective Consumption tax has not yet been announced.

During the first 30 days of the enforcement of Law No. 31557 145 authorization requests were submitted by both national and international companies to participate in online gambling.