Argentina Boosts Tax on Online Gaming to 5%

The Argentine Chamber of Deputies has passed a bill that would increase the tax limit for online casinos from 2% to 5% by 2021.

Economy Minister Martín Guzmán has applied the latest bill to the national budget. The tax shall refer to any trade involving online gaming. For businesses working in low-taxation areas, there is also a 10% boost.

Guzmán claimed that his budget proposal was a crucial step on "our journey": a country that is growing and offering employment and guarantees. He added:

“Our economy’s recovery with macroeconomic stability is our horizon and the budget, our tool; and the key element in our strategy.” 

Online gaming is currently receiving about $2.4bn in sales annually in Argentina, but since the federal government hardly controls the gaming industry, Argentina hardly profits. According to the latest plan, the country's provinces will receive 95% of the tax. The government would have the freedom to review online betting and keep track of bank and billing results. Arsat, the telecommunications provider in Argentina, will also track the gambling activity. It's part in this process equals 5% of the tax.

The government will review bank and billing details in compliance with the 2021 budget and will recognise online bets when found in a cell phone code on a sim card or in the IP address of the service recipient's electronic computer.

The regions of the world are seeking to devise their own rules. Others have drawn up short-term plans whilst others allow for temporary activities. Buenos Aires drafted final online gaming rules, which were approved in September.