The approval of a new 20% levy on gaming businesses is intended to prevent both money laundering and the proliferation of gaming venues. There are no figures for how much money this tax would bring in, but it is estimated to be in the region of US$900 million. Lawmakers are to ask the government to make public a list of all gaming operators, including on television and the Internet, so that the relevant amounts to be collected will be known.

The legal vacuum in Mexico has been called a ‘virtual paradise’ for operators of online betting businesses. It has also allowed for the growth of casinos, lotteries and betting venues without proper regulation. Secretary of the Finance Commission, Camerino Márquez Madrid, has said that the new taxes are just the start of future regulations that will limit the way the gaming industry operates.

The gaming tax for businesses operating in Mexico should not be considered as a tax on gamblers, according to Márquez Madrid. Instead it was aimed at those providing gaming facilities because of the absence of any legislation to regulate them. The outdated 1947 gaming law needs urgent amendment but politicians are still arguing about how to draft a new law. In the meantime, the numbers of ways and places to gamble are growing rapidly throughout Mexico. (E-09.20.07)

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