Peru's President: Tax on remote gambling, sports betting to collect US$40 million

Photo: ANDINA/Presidency of the Republic of Peru

Photo: ANDINA/Presidency of the Republic of Peru

10:00 | Lima, Aug. 13.

The President of the Republic Pedro Castillo on Friday evening enacted the law that regulates the exploitation of remote gambling and sports betting so that the Peruvian State collects taxes for their redistribution among various sectors such as tourism, health, and sports.

"The Executive Branch and Congress have established a regulatory framework so that these operations are controlled in a comprehensive manner, paying taxes, as in countries: Colombia, Mexico, Argentina, as well as a large part of the United States and Europe," Mr. Castillo expressed after enacting the law —an initiative of the Government.

The Head of state explained that the Ministry of Foreign Trade-Tourism (Mincetur) will become the administrative authority nationwide to regulate, authorize, revoke, supervise, and sanction the exploitation of online gambling and sporting bets.

"For the first time, Peru is creating a special tax on online gambling and sporting bets of 12%, which will lead to an annual collection by the State of S/156 million (about US$40 million)," he underlined.

Of the aforementioned amount, 40% will be allocated for tourism development, 20% to promote mental health and care for the affected population, and 20% for the Public Treasury, which might be used for Government social policies.

"This is a law that will benefit the country because, on the one hand, it will enable the State to rely on greater resources so as to meet its obligations in economic and social matters, which will result in better living conditions," Mr. Castillo explained.

"On the other hand, because it represents an important step in the formalization of activities that used to operate without any type of control until today," he added.

Moreover, the top official called on Peruvian and foreign businesspeople to continue investing in this country and comply with their tax obligations within the framework of the aforementioned law.

"We call on you to invest responsibly, to register in Peru and pay the corresponding taxes," he emphasized.


Published: 8/13/2022
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