Chile’s Chamber of Deputies passes bill regulating online gaming
Chile’s Chamber of Deputies recently approved a bill to regulate online gaming in the country, signaling a significant step forward in the legislative process. The bill, which garnered widespread support from the Chamber, now moves on to the Senate for further consideration.
The primary objective of the bill is to establish a competitive and transparent online gaming market in Chile, while also prioritizing the health and safety of players. If the bill is ultimately passed into law, it would grant new authority to various regulatory bodies in Chile, including the Superintendence of Casino Games (SCJ), the Commission for the Financial Market (CMF), and the Internal Revenue Service (SII).
Additionally, the bill proposes the implementation of a National Policy on Responsible Gambling, with involvement from the SCJ and the ministries of Finance and Health. Operators seeking to establish online betting platforms in Chile would be required to pay a general license fee, further contributing to the regulation and oversight of the industry.
One notable aspect of the bill is the inclusion of taxation measures for online gaming, including VAT on digital entertainment services. This taxation system is designed to allow operators to recover tax credits for certain expenditures, such as advertising and software.
Furthermore, the bill dictates a specific allocation of an online operator’s gross gaming revenue (GGR) towards supporting sports in Chile. Specifically, 2% of GGR must be allotted to various sports organizations, including the National Sports Institute, the Chilean Olympic Committee, and the Chilean Paralympic Committee.
In an effort to combat illegal gambling activities, the bill also outlines stringent measures for advertisers, internet service providers, and financial institutions. Restrictions on advertising, bank account registration, and access to illegal platforms aim to reinforce the legal framework surrounding online gaming in Chile.
The approval of the bill by the Chamber of Deputies represents a significant development in the progression towards comprehensive regulation of the online gaming industry in Chile. The introduction of this legislation comes after the government’s announcement of plans to legalize online gaming in early 2021.