Different international sports betting operators have already landed in the local market with sponsorship agreements with important clubs in Chile’s football first division. Universidad de Chile signed with the Greek bookmaker Betano as its main sponsor for the next three years. Colo Colo announced a deal with the Swedish giant Betsson, and Everton, Unión La Calera, Coquimbo Unido, Ñublense and Audax Italiano featured the subsidiary of the French Super Group, Betway, on their jerseys.
The objective of the bill presented by the Executive power of Chile is to regulate the activity. “With this project we will establish clear rules for an industry that is not regulated in Chile. In this way, we will protect users and regulate operators, who will now have to pay a specific tax, which will allow the treasury to collect some US$55 million per year under the regimen,” Undersecretary of the Treasury, Alejandro Weber, told Pulse.
The initiative will allow companies that obtain a general license for a duration of 5 years, renewable, or a temporary license for 6 months, non-renewable, the exploitation of any betting object or game of chance, with the exception of lotteries and those that contain or transmit graphics, messages or sounds that threaten public order, national security, the honor of people, or are directed at minors.
Companies must be incorporated in Chile and report the origin of the funds necessary to operate the business, detail their shareholders and final beneficiaries, in addition to being required to report suspicious money laundering operations. Anyone who has a user account -which will require being of legal age and RUT- will be able to bet. The control will fall on the SCJ, which will now be called the Superintendency of Casinos, Betting and Games of Chance.
From the government they explain that the firms that operate remote games must pay a specific tax, substitute for VAT, of 20% of their gross income; a license fee of 1,000 UTM per year for those with a general license and 100 UTM for those with a temporary license. And if the purpose of the Online Betting Platforms (PAL) is to develop sports betting, they must deliver 2% of their annual gross income to the National Federation of the sport that is the object of the bet. In addition, the operating companies must spend at least 1% of their annual gross income on actions aimed at promoting the development of responsible gaming.
Users will also be subject to a tribute: they will have to pay 15% of their income obtained in this activity, when withdrawing money from their user account to their personal account.
“In Chile, online betting is totally prohibited and outside the regulatory framework and is an illegal and unfair competition,” said the president of the Chilean Association of Gaming Casinos, Mariana Soto.
According to figures from the Superintendency of Casinos, there are more than 900 websites and platforms that allow online gambling to be developed from Chile, hosted in countries or jurisdictions such as Malta or Curacao, generating a market of around US$150 million.
Source: La Tercera (Chile)
