The new regulations that will establish the legal framework for gambling in the nation were passed on Thursday (25th May 2023), according to the Peruvian Congress, Central Bank, Ministry of Finance, and Financial Intelligence Unit. The price of new gaming licenses will triple due to new regulations, reaching US$ 808,000.
A 12% point of consumption tax is established by Law No. 31557 in its revised form. The earlier version of the law was criticized by the Peruvian Association of Sports Betting (APADELA) for essentially exempting international operators from the gaming tax by simply taxing Net Win.
The use of retail licenses was likewise abolished under the new law. In accordance with the new rules, points of sale will have to pay up a warranty of US$ 7,000 before they can provide gaming services.
There will be new Know Your Customer (KYC) regulations. Instead of the current situation where many gamble anonymously, players will need to register in order to place bets.
Fines, up to four years in prison for guilty persons, license suspension, and cancellation are all possible penalties for non-compliance.
Games of chance will be available on platforms using Peruvian URLs (bet.pe/.bet/.com.pe/.pe).
The new regulations will go into effect after 120 days following the technical regulations’ approval.
Public Consultation on Peru gaming law
A public consultation that compiled opinions from various interested parties on the best way to regulate the gaming sector led to the revision of the legislation.
The findings of the consultation were released by the Ministry of Foreign Trade and Tourism (Mincetur) on May 19. 772 contributions from both public and private parties were gathered through the process between November 11 and December 2.
These included the Financial Intelligence Unit of the nation, the Ministry of Justice and Human Rights, iGaming and sports betting companies, suppliers, and private citizens.
Law No. 31,557
The original Law No. 31,557, which governed the nation’s gaming business, was signed by Peruvian President Pedro Castillo in August 2022.
The law, among other things, established rules for market participants and specified where gaming taxes should be active. It also placed the business under the control of Mincetur.
Source: iGB
