(PRESS RELEASE) -- The National Government has introduced a significant adjustment by correcting the VAT base applicable to online betting, shifting from a 19 percent levy on deposits, an artificial base that did not reflect the sector’s economic reality, to its application on GGR (Gross Gaming Revenue), defined as total wagers minus prizes paid to players. This change recognizes, for the first time, the real math of the business.
This represents a meaningful step forward. The sector is moving away from a deeply disproportionate system in which the tax burden could exceed 70 percent of actual revenues, toward a scenario with fiscal pressure of approximately 34 percent on GGR. This includes a 15 percent operating rights fee and 19 percent VAT, not including other taxes such as income tax. Even so, this figure remains one of the highest tax burdens globally for the industry, well above international averages, creating new challenges for the competitiveness of the legal sector. This should not be seen as an end point, but rather as a starting point for continued dialogue with authorities toward a sustainable long-term model.
This adjustment allows the industry to move past a clearly unviable situation and opens a minimal, but necessary, margin for legal operations. However, the change is still not sufficient for Colombia to have a highly competitive market aligned with global business models. The current tax burden keeps the country far from the structures used in other jurisdictions and underscores the need to continue working toward a comprehensive reform that attracts investment, encourages technological development, and strengthens formalization.
From Fecoljuegos, we reiterate that this is only a first step. The real challenge is to consolidate a viable, sustainable, and competitive industry, capable of competing with both international platforms and illegal gambling, which pays no taxes and offers no guarantees to users. A strong industry is essential to attract investment, drive technological development, create formal employment, and ensure stable and growing resources for the health of Colombians.
Looking ahead to 2026, the challenge will be to preserve a responsible balance between fair tax revenue for the State and the sustainability of the legal sector. Fecoljuegos maintains its ongoing commitment to technical, serious, and constructive dialogue with authorities, for the benefit of the country and an activity that contributes significantly to the national economy and the health system.