👀 Peru🇵🇪: betting operators challenge the constitutionality of the law regulating their activity

👀 Peru🇵🇪: betting operators challenge the constitutionality of the law regulating their activity

Betting operators have challenged the constitutionality of the legislation regulating their activity, obtaining support from the National Jury of Elections (JNE), an autonomous constitutional body that acts as the country’s electoral court. The main point of dispute concerns the application of the Selective Consumption Tax (ISC) to betting companies.

➡️ Operators currently pay a 12% gambling tax and, in addition, a 1% ISC applied to betting amounts. While the additional percentage may appear limited, the specific nature of the industry means that the effective tax burden can significantly exceed the nominal rate, reaching in some cases up to 50% of gross gambling revenue.

➡️ Several reports prepared by constitutional and tax law specialists have questioned the legal basis of Legislative Decree No. 1644, which authorizes the application of the ISC.

➡️ To file a constitutional challenge before the Constitutional Court, applicants must collect 5,000 signatures. These signatures have already been gathered and officially validated by the JNE.

➡️ Peru’s betting industry already has a relevant legal precedent: through Constitutional Court ruling No. 009-2001-AI/TC, certain tax provisions applied to casinos and slot machines were declared unconstitutional. The decision later led to the recalculation, compensation and reimbursement of amounts collected under that tax framework.

➡️ Context: between 2025 and 2026, approximately 40 operators exited the Peruvian market, around 1,500 retail points were closed, and sponsorship agreements with professional football clubs declined from 18 in 2024 to 5 in 2026.

#news #Peru #gambling #betting

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