Peru has greenlit regulatory changes that will result in a threefold increase in the price of new gaming licenses, raising the cost to Sol2.97
Peru has greenlit regulatory changes that will result in a threefold increase in the price of new gaming licenses, raising the cost to Sol2.97m ($808,000/£652,000/€753,000).
The prior evening (25 May), new rules received approval from the Commission of Economy, the Central Bank, the Ministry of Finance, the Financial Intelligence Unit, and the Peruvian Congress. These rules will provide the foundation for gambling regulations in this South American nation.
The revised Law No 31557 imposes a 12% consumption tax at the point of sale. The Peruvian Sports Betting Association (APADELA) has pointed out that the earlier version of the law essentially gave foreign operators a pass on the gaming tariff by only taxing net wins.
Retail Licenses Brought to an End
The updated law has done away with retail licenses. As per the revised regulations, retail outlets will be required to provide a guarantee of Sol24,750 to offer gaming services.
NEW RULES SET UP THE LEGAL FRAMEWORK FOR ONLINE GAMBLING IN PERU
The revised regulations also introduce new Know Your Customer (KYC) requirements. Unlike the previous system where many could place anonymous bets, players will now have to register to place bets.
Penalties for non-compliance range from fines and license suspension or cancellation to a prison term of up to four years for culpable individuals.
Peruvian URLs (bet.pe /.bet / .com.pe/ .pe) will be allowed to host games of chance.
Once technical regulations receive approval, the new rules will come into effect 120 days later.
Public Feedback on Peruvian Gambling Legislation
The regulatory overhaul was precipitated by a public consultation, which gathered a variety of opinions on the best way to regulate the gambling industry.
On 19 May, the Ministry of Foreign Trade and Tourism (Mincetur) published the results of this consultation. The process, which ran from 11 November to 2 December, gathered 772 contributions from both public and private stakeholders.
These contributors included the Ministry of Justice and Human Rights, the country’s Financial Intelligence Unit, iGaming and sports betting operators, suppliers, and individuals.
In August 2022, the Peruvian president, Pedro Castillo, signed the initial law – No 31,557 – which regulated the country’s gambling industry.Jonathan Archer-Newmen
Among other measures, the law put the industry under the supervision of Mincetur, set rules for active suppliers in the market, and laid out directions for how money collected through gaming taxes should be allocated.