The government of Chilean President José Antonio Kast submitted amendments on October 26 to the Senate's economic committee for a bill that would legalize private online betting operators through licensing and taxes. The bill was introduced in 2022, and its progress has been delayed several times since then.
The amendments provide for five-year licenses, 19% VAT on the difference between bets and winnings, and a separate 3% levy. Advertising and bonuses for players will be banned, and default limits will apply to deposits and playing time. Land-based casinos will be able to accept online bets on their premises under agreements with licensed partners.
The main dispute centers on transitional licenses for platforms that already operate without permission. Such operators will be able to keep working while they undergo technical certification and review by the regulator. Proposals differ sharply on the fee for this status, ranging from a monthly payment of 73,000 UTM (Chile's tax unit, indexed to inflation) to a one-time or periodic payment of 3,000 UTM, or about $219,000. Critics call the low rate a "pardon" for past illegal operations.
The Chilean Casino and Gaming Association (ACCJ), which represents licensed casinos, opposes the transitional regime and the tax scheme. The association's executive president, Cecilia Valdés, told the DF al Cierre program that "fundamental asymmetries" remain. She noted that land-based casinos pay taxes that fund municipalities, while online operators would not carry that burden. "We want competition, but real and fair competition," Valdés said.
The Senate has no unified position. In October, senators Diego Ibáñez and Gastón Saavedra proposed a full ban on online betting. Senator Daniel Núñez proposed leaving the market to the two existing lottery operators and fining customers who knowingly and repeatedly bet on illegal websites within 90 days.
No dates have been set yet for votes in the committee or in the chamber. The final form of the transitional regime and the size of its fee will become clear after the committee discusses the amendments.
