The 2021 budget will be voted on this week, including a tax increase on online gambling from 2 to 5 per cent.
Argentina.- Online gaming will have to pay more taxes in Argentina if the 2021 budget is approved in its current form. As the state desperately seeks ways to raise funds, the budget proposes increasing tax on the industry from 2 to 5 per cent.
The minister of finance, Martín Guzmán, added the tax increase to the bill last week and extended its scope to mobile apps, with the National Communications Agency (Enacom) put in charge of the registration of domains.
It is estimated that the volumes of bets covered may be as high as US$2.4bn but since operators work unofficially, the government does not receive a cut. Of the funds raised, 95 per cent will co-participate with the provinces and the other 5 per cent will finance plans run by Arsat, a state communications services company.
Argentina has been plunged into a harsh economic crisis with high rates of unemployment and poverty, on top of concerns around foreign debt. The 2021 budget bill will be put to a vote in the Chamber of Deputies on Wednesday and is likely to be approved.