Chile's Chamber of Deputies has approved a resolution criticising the Internal Revenue Service (SII) for allowing foreign betting platforms to register and pay VAT in the country. The measure passed 133 votes to three. Lawmakers argue the tax registration contradicts a Supreme Court ruling ordering the blocking of unlicensed operators.
In June 2026, the SII issued Resolution No. 69 requiring foreign providers of online betting, casino and related digital services to register and pay VAT on transactions involving Chilean users. The tax authority stressed that VAT collection does not constitute licensing or recognition of legality. It is a purely fiscal obligation that arises regardless of whether the operator holds authorisation.
The conflict sharpened after a Supreme Court decision in September 2025 ordering the blocking of sites without a licence. The Santiago Court of Appeals then established a procedure for identifying and blocking unauthorised domains. Deputies fear that formal registration for tax purposes creates the impression that the state recognises or tolerates illegal business.
The resolution also points to player protection risks: underage access, lack of effective self-exclusion and other safeguards on offshore platforms. Asociación Chilena de Casinos backed the criticism, stating that collecting VAT from illegal platforms sends the wrong signal to the market.
Meanwhile, Congress is considering a bill to license online gambling. The draft remains in the Senate, where lawmakers and the government continue work on amendments. Once passed, the law will establish a full licensing regime with operator requirements, taxation and player protection measures.
