Peru's Congress evaluates law changes for sports betting & iGaming
The Peruvian Congress will debate a new substitute text that modifies Bill 9645, related to Law 31,557, a regulation governing the exploitation of remote sports betting and gaming in the country. The review arises following observations made by the Executive Branch, which warned of tax loopholes and lack of regulatory precision in the previous version.
According to the submitted document, the changes aim to organize the fiscal framework, unify tax criteria between domestic and foreign operators, and strengthen the supervisory powers of the Ministry of Economy and Finance (MEF).
Changes to the Selective Consumption Tax (ISC)
One of the most relevant adjustments is the authority granted to the MEF to modify the rate of the Selective Consumption Tax (ISC) applicable to online sports betting and gaming, establishing a range between 0.3% and 7%.
This limit responds to the Constitutional Court’s criterion, which set a maximum cap of 20% to avoid a confiscatory effect.
The text also proposes to immediately triple the current rate, increasing it from 1% to 3% as of the publication of the new regulation.
Elimination of regulatory duplications
The bill also proposes to remove the section referring to manipulation of sports results, which was already regulated previously through a law promoted by Congresswoman Diana Gonzales. The intention is to avoid duplication of regulatory frameworks.
Correction of tax asymmetry between national and foreign operators
Another key change seeks to correct the current distortion in ISC payment.
Currently, the tax is assumed by:
- Peruvian players when operating on non-domiciled platforms,
- the companies themselves when it comes to local operators.
The new text proposes that all companies — national or foreign — be responsible for paying the ISC, eliminating this asymmetry by repealing literal e) of article 53 of the Consolidated Text of the VAT and ISC Law.
Likewise, it maintains modifications to articles 6 and 9 of Law 31557 to enable the participation of natural persons with businesses.
An additional bill proposes to completely ban advertising in the sector
In parallel, a new bill presented in Congress, promoted by Congresswoman Susel Paredes, proposes to completely prohibit advertising, promotion, and sponsorship of any form of gambling in Peru. The restriction would cover:
- television, radio, print media, and the internet,
- social networks and digital platforms,
- public spaces and transportation,
- sports, cultural, and artistic sponsorships,
- and any form of indirect advertising or product placement.
The initiative especially includes activities or events involving minors.
Tags: Peru, amendment to the betting law, modification of betting taxes in Peru