Uruguay restructures tax on electronic gambling
The Uruguayan government has consolidated the tax rules governing electronic gambling through a decree. The tax remains at 0.75% on each bet placed in authorised establishments, according to reports from the Uruguayan Ministry of Economy and Finance and local media sources.
Uruguayan presidential decree unifies tax regulations for online gambling
President Yamandú Orsi and Minister of Economy Gabriel Oddone recently formalised Decree 167/025. The document consolidates existing regulations into a single comprehensive regulation.
It should be noted that the tax was already in place in the Uruguayan tax system, and the measure does not introduce new taxes on the entertainment sector. However, it reorganises the existing provisions to facilitate their practical application. In addition, it establishes clear procedures for the collection of the tax in duly authorised establishments.
Electronic gaming machines installed in casinos remain subject to this specific tax. Likewise, entertainment venues expressly authorised by law maintain this unavoidable tax obligation. The decree specifies that these modalities include automatic bets with immediate resolution.
Taxpayers and those responsible for betting tax
Bettors are the direct taxpayers of this tax, according to the new regulations established. Establishments that operate these types of games are required to act as mandatory withholding agents. Consequently, they must transfer the corresponding amounts to the General Tax Directorate (DGI).
The tax rate remains at 0.75% of the amount originally wagered by each player. This figure does not take into account any winnings generated during the subsequent course of the game. Furthermore, it applies regardless of the means used to place the corresponding bet.
Key highlights of the decree:
- The tax applies to all bets placed through electronic machines or automatic bets with immediate resolution in casinos or authorised gaming halls (Art. 1).
- The taxable event occurs with each cash bet, regardless of the means used (coins, chips, electronic money, etc.) (Art. 2).
- Taxpayers are the individuals who place bets, but the entities that operate the game are responsible for paying the tax on their behalf (Art. 3 and 4).
- The tax base is the original amount wagered, not including successive winnings during the game cycle (Art. 5).
- The tax rate is 0.75% of the amount per bet (Art. 6).
- The tax is settled monthly and administered by the General Tax Directorate (DGI) (Art. 7 and 8).
- Tax withholding must be documented in accordance with the provisions of the DGI (Art. 9).
- Decree No. 359/017 of 2017 is hereby repealed by this new decree. (Art. 10).
Download the decree here:
Collection and settlement mechanism
The DGI will establish the specific conditions for transferring these tax resources, as well as the relevant deadlines for complying with this tax obligation. Therefore, the designated responsible parties must strictly adhere to these established time parameters.
Each individual’s play automatically generates the obligation to pay the corresponding tax. Additionally, this mechanism ensures the continuous collection of resources for the State. Authorised establishments remain responsible for acting as intermediaries in tax collection.
Regulation in the betting sector in Uruguay
This regulatory reorganisation reflects the consolidation of the Uruguayan tax framework for the gaming sector. The country thus maintains its comprehensive regulatory approach to gambling entertainment activities. It also demonstrates the government’s commitment to modernising regulatory instruments.
The measure seeks to simplify administrative procedures for operators and the respective tax authorities. It also provides greater legal clarity to industry players regarding their specific tax obligations. This initiative, therefore, strengthens the legal certainty of the existing regulatory framework.
In recent years, several Latin American countries have updated their regulatory frameworks for the sector, including Colombia, Brazil, and Paraguay, among others. Uruguay is continuing this trend by consolidating its existing regulations into more efficient instruments.
This article was first published in Spanish on 26 August 2025.
