Zona de Azar Colombia – Colombia to Apply 19% VAT on Online Betting Until 2026

Colombia.- February 19, 2025 – www.zonadeazar.com Colombia’s Ministry of Finance and Public Credit has issued Decree No. 0175, which formalizes the exemption of Value Added Tax (VAT) for online gambling. This measure aims to generate economic resources to address the humanitarian crisis in the Catatumbo region.

The decree, in effect from February 14 to December 31, 2025, establishes a 19% tax on games operated exclusively online. According to the regulation, VAT will apply to money deposits made by users into their gaming accounts, whether through cash payments, bank transfers, or cryptocurrencies. The amount available for betting will be calculated by deducting the tax from the total deposited.

Additionally, the Ministry of Information and Communications Technology must issue the necessary regulations for Coljuegos, the entity responsible for regulating gambling in the country, to identify and take action against channels, platforms, and media that facilitate unauthorized gambling operations.

Statements from the Vice Minister of Finance

According to María Juanita Villaveces, Vice Minister of Finance, this initiative aims to raise COP 1.06 trillion (USD 252.3 million) exclusively for addressing the internal crisis.

The decree also includes the implementation of a special 1% contribution on crude oil and coal exports, which is expected to generate approximately COP 214 billion (USD 50.8 million), as well as a 1% stamp tax, projected to raise COP 330 billion (USD 78.3 million).

It is worth noting that at the end of January, the government led by Gustavo Petro declared a state of internal commotion in 16 municipalities of Norte de Santander, including 11 in the Catatumbo region, due to clashes between the National Liberation Army (ELN) and a dissident faction of the FARC.

For more details, you can review Decree No. 0175 from the Colombian Ministry of Finance.  decreto-0175-iva-igaming-colombia-14-febrero-2025

Edited by: @_fonta – www.zonadeazar.com