A fiscal reform bill submitted to the Dominican Republic Congress includes tax increases of up to 243% on casinos, lottery and betting shops.
The proposal indicates that the annual single tax for lottery outlets will increase from DOP 35,000 pesos to DOP 120,000, a rise of 242.8%.
Sports betting shops located in metropolitan areas such as the National District, Santo Domingo province, San Cristóbal, Santiago, Duarte, Puerto Plata, and La Vega will be required to pay DOP 500,000 per year under the new bill. This is an increase from the current tax of DOP 225,000.
In contrast, sports betting shops located elsewhere in the country will owe the Dominican state DOP 300,000, doubling the current tax of DOP 150,000.
Casinos would also face higher operational taxes. The proposal states that establishments with between one and 15 gaming tables would pay DOP 70,000 per table per month, up from the current DOP 32,500.
Meanwhile, casinos with between 16 and 35 gaming tables would pay DOP 80,000 per table per month, up from the current DOP 37,500.
Likewise, businesses with 36 or more gaming tables would pay DOP 100,000 per table above the previous tier, up from DOP 50,000 currently.
Another bill submitted to the Dominican Republic Senate would transform the National Lottery into a fully-fledged regulatory body with expanded authority over all gambling activity in the country.
Currently, the institution participates in the regulation and organization of betting shops and lotteries, but much of the legal and administrative responsibility lies with the Ministry of Finance, particularly through the Directorate of Casinos and Gambling.
Dominican Republic is in the process of strengthening its AML and CTF rules for the casino and gaming industry