Peru’s President Dina Boruarte has signed into the country’s new gambling law, which triples the license cost to 2.97 million soles ($814,000/£643,000/€746,000).
Last night (June 28), the Republic of Peru approved Law No. 31,806, a series of proposed amendments to the country’s gaming regulations passed into law. The amendment would correct many flaws in the original law that effectively exempted foreign businesses from taxes.
One of the big changes is that the license cost will rise to 3% of net profit or 2.97 million Sol, whichever is higher. This is three times the previous Sol990,000 license fee.
Points of the consumption system
The law also establishes a point of consumption regime. All online gambling businesses operating in South American countries are now required to use a Peruvian domain address (.bet.pe/ .bet/ .com/ .pe/.com.pe). The law sets taxes at 12% of income.
Under the new regulations, carriers will have to introduce Know Your Customer (KYC) requirements. This includes verifying the identity, age and nationality of consumers accessing gambling services.
Peruvian players will now only be able to bet on sporting events that are part of national or international sporting associations, federations or leagues.
In addition, the law also amends the sponsorship rules. This means that only licensed companies can sponsor teams and events.
The new law will come into force on July 18, 20 days after its publication in the Official Gazette.
Early version of the Peruvian Gambling Law
The first law to try to regulate Peru’s online gambling sector was Law No. 31,557. In August 2022, then-President Pedro Castillo signed a bill legalizing sports betting and gaming in Peru.
The country’s gambling trade body, La Sociedad Nacional de Juegos de Azar (Sonaja), said the law does not have restrictions on businesses not domiciled in Peru, and foreign businesses are permitted to enter the country’s 12 It faced criticism after it was emphasized that it was effectively exempt from the 10% gambling tax.
