Zona de Azar Ecuador – Ecuador Registered 65 Sports Betting Companies
Ecuador. – September 3, 2024. According to the country’s Internal Revenue Service (SRI), Ecuador registered 65 sports betting companies in the first half of 2024. These companies enrolled under the new tax regime that took effect on July 1, established by Executive Decree No. 313, published on June 28.
This new legal framework imposes a significant tax burden. Sports betting operators, whether local or international, must pay a 15% tax on gross revenue.
Additionally, players’ winnings are subject to a 15% withholding tax. Operators have a six-month period to update their systems and comply with the new regulations.
The SRI’s director, Damián Larco, highlighted in a recent interview that most registered companies are of local origin, with only two international operators.
Larco also indicated that the actual number of active operators in the market could be even higher. The SRI is closely monitoring the sector to ensure that offshore operators apply for licenses, with the risk of having their IP addresses blocked.
Despite the increased tax burden, operator interest remains high. The Ecuadorian government is considering further changes to gambling regulations, including lifting the ban on physical casinos, in place since 2011.
The proposal to regulate gambling was initially included by President Daniel Noboa in a public consultation but was withdrawn due to civil unrest and escalating conflicts with drug cartels earlier this year.
Sports Betting Regulation in Brazil: Revenue and Rules
In Brazil, the Betting Management System (Sigap) received 113 licensing requests from companies interested in operating sports betting and online gaming. The Ministry of Finance expects to raise over BRL 3 billion from licensing fees alone.
Among the established rules, there is a requirement to pay a license fee of BRL 30 million for each license. Approved companies will be able to operate up to three betting platforms, with licenses valid for five years.
Starting January 1, 2025, only authorized companies will be able to operate legally in the country, while unauthorized ones will be considered illegal and face restrictions on advertising and sponsorships.
Companies must meet strict criteria for legal qualification, tax and labor compliance, good standing, and economic-financial and technical qualifications. These rules aim to ensure the safety of bettors and that betting companies have proper governance structures.
.bet.br Domain
The regulation establishes that authorized companies must operate exclusively on websites with the “.bet.br” domain. This promotes a safe environment for bettors, prohibiting access to minors and implementing measures against money laundering.
The Secretariat of Prizes and Betting will supervise these companies through its own system, allowing for monitoring of bettors’ behavior and assisting in tax control.
Edited by: @_fonta www.zonadeazar.com
