Chile Senate Finance Committee Approves Bill for Online Gambling Regulation

On August 6, 2025, Chile’s Senate Finance Committee approved the bill aimed at regulating online gambling platforms, a key step in reshaping the country’s gambling sector. The bill, which had been introduced with broad objectives in mind, was passed with unanimous support. It now moves to the next stage of the legislative process, where it will undergo further scrutiny.

Objectives of the Bill

The bill’s primary goals include safeguarding public health and safety for gamblers, fostering a competitive market, and increasing the transparency of funds used in online gambling platforms. By establishing a formal regulatory framework, the government intends to protect consumers, ensure fair play, and encourage the growth of legal platforms such as Polla de Beneficencia, Lotería de Concepción, casinos, and horse racing. The law will also focus on tax collection, ensuring that gambling-related revenues contribute to the public sector.

In response to concerns raised by industry representatives, Undersecretary of Finance Heidi Berner clarified the bill’s tax framework. Berner revealed that, based on an analysis by the Superintendency of Gambling Companies (SCJ), the total tax burden—which includes 19% VAT—would not exceed 28%. She also stressed that no exceptions would be made to the VAT rule, as it applies uniformly to all digital services, whether local or foreign.

Path Forward for the Bill

With the approval from the Finance Committee, the bill will now be voted on in the Senate Chamber. If passed, it will enter a phase where amendments can be proposed. The bill will then continue through the Economy and Finance Committees before being sent back to the Senate for further review. The Public Prosecutor’s Office has also advocated for the bill’s alignment with efforts to combat illegal gambling, ensuring that once the industry is regulated, illegal operators can be pursued under the law.

Strengthening Responsible Gaming

A central feature of the bill is its focus on responsible gaming. Berner emphasized that one of the primary objectives is to prevent underage gambling, particularly for children and teenagers. To achieve this, the bill proposes several measures, including biometric identification systems, payment method restrictions, and the ability to block platforms that fail to comply with the new regulations. These tools will help ensure that gambling is safe, secure, and accessible only to those of legal age.

Industry Reactions and Concerns

While the bill has received support from a wide array of stakeholders, the Online Gambling Platforms Association (aPAL), which represents major operators such as Betsson, Betano, and Betwarrior, has voiced some concerns. The association expressed caution about the potential tax burden, arguing that excessive taxation could discourage operators from moving from an unregulated to a regulated market. Carlos Baeza, a representative of aPAL, emphasized that a fair tax system would be essential for protecting consumers while encouraging operators to enter the formal market. He stated, “The success of this law will be measured by its channeling capacity, its ability to attract players from the unregulated market into a regulated one.”

Further concerns were raised about provisions in the bill that seem to give Polla de Beneficencia an unfair advantage. The group believes that this provision would exempt Polla from certain technical requirements imposed on other operators, leading to possible market imbalances. aPAL also criticized retroactive taxes on existing operators, warning that such measures could hinder the transition to a regulated market, contradicting constitutional norms and disrupting business continuity.

Moving Forward with Regulatory Progress

As the bill moves through the legislative process, both government officials and private sector players are closely following its developments. One of the key outcomes expected from this bill is the establishment of a formal, secure, and competitive market for online gambling in Chile. However, how the bill is finalized will depend on the resolution of critical issues, such as tax rates and fair competition, as well as finding the right balance between industry interests and consumer protection.

The success of the bill will depend not only on how it regulates operators but also on how effectively it channels players from the unregulated market to one where their safety and security are prioritized. The bill’s ongoing debates will likely continue to influence the future of online gambling in Chile.

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Comisión de Hacienda del Senado aprobó en general por unanimidad el proyecto de ley para regular las plataformas de apuestas en línea, diarioestrategia.cl, August 6, 2025.