President Kast’s government had proposed 5-year licences with 19% VAT plus a 3% levy on private operators.
The hit
A Chilean Senate committee has backed two amendments to ban online gambling platforms, according to iGaming Business, dealing a blow to President José Antonio Kast’s plan to license & tax private operators. The Senate Economy Committee approved the amendments 3-1, with one abstention, on Monday. Both block a regulated private market, though penalties differ between them.
Why it matters
Senate President Paulina Núñez & RN Senator María José Gatica tabled one amendment. Committee chair Gastón Saavedra & Broad Front Senator Diego Ibáñez tabled the other. Ibáñez pointed to a Supreme Court ruling that declared the betting business illegal & ordered all online betting houses closed, according to ADN Radio. Independent Senator Matías Walker opposed the ban, arguing regulation would make operators take out licences & pay tax. The Ibáñez/Saavedra amendment would order internet providers, app stores & payment companies to block access, downloads & transactions. The Núñez/Gatica amendment instead lets courts permanently block illegal sites & restricts their payments & advertising.
The record
| Committee vote | Senate Economy Committee approved the amendments on Monday |
|---|---|
| Senate amendments sent | 26 October, proposing licences to legalise private operators (President Kast’s administration) |
| Ibáñez/Saavedra penalty | 541 days to 5 years prison, 200-1,000 UTM fines |
| Núñez/Gatica penalty | in serious cases, such as targeting minors or defying a court blocking order: up to 15 years prison, up to 10,000 UTM fines (CNN Chile) |
What happens next
Committee chair Gastón Saavedra said the committee will merge the two ban texts at its next session, before the bill moves to the Senate Finance Committee.
Sources: Chilean Senate committee backs online gambling ban
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