Chile establishes system for foreign betting platforms to pay taxes

Chile's Internal Revenue Service (SII) has established a registration system that creates a mechanism for online betting platforms with no domicile or residence in the country to pay the taxes corresponding to their operations.

Through Resolution 69, issued on June 2, 2026, the SII determined that online operators must "comply with the current rules and instructions regarding registration, filing, declaration, and payment of taxes applicable to foreign taxpayers providing digital services subject to VAT."

According to the agency, the measure aims to "strengthen tax fairness, ensuring that when digital services are provided from abroad to individuals domiciled in Chile, the corresponding tax is always declared and paid, preventing uncontrolled situations and inequalities with respect to other taxpayers."

The VAT must be applied to the total amount of compensation received for the provision of these services, regardless of its nature.

Once registered in the system, foreign online betting platforms that have provided services during the last 36 tax periods will be required to pay the outstanding VAT owed through Form F129, also known as the Digital VAT form.

The SII also emphasized that the resolution "refers exclusively to compliance with tax obligations, as matters related to authorization, regulation, sector-specific supervision, or the determination of the legality of these activities fall under the jurisdiction of other competent authorities, in accordance with the current legal framework."

The agency further stated that, "given that these unauthorized platforms have continuously carried out VAT-taxable operations, including openly advertising their activities, it is the duty of this Service to ensure that they pay the taxes corresponding to them."

ACCJ rejects the measure

The Chilean Association of Casinos and Gaming (ACCJ) criticized the SII's decision to enable foreign online operators to pay taxes, arguing that the measure "does not constitute a simple tax collection action."

In a statement, ACCJ President Cecilia Valdés said the mechanism "operates as a disguised regularization process by incorporating into the state system operators that engage in an activity the Supreme Court has classified as illegal," and that is subject to digital blocking measures.

"The signal is particularly confusing when, just days before this decision, the government chose not to introduce amendments and reduced the urgency of the bill that seeks to regulate this very activity," the ACCJ stated.

The association further argued that paying taxes "does not transform an illegal activity into a legal one" and that "the message being sent to the market is that these platforms may continue operating while only regularizing their tax situation," without assuming regulatory, supervisory, prevention, and other obligations.

"As a regulated industry, we call on the authorities to safeguard the institutional coherence of the State, restore consistency between the positions of the Supreme Court, the Superintendency of Casinos of Gaming, and the SII itself, and move urgently toward comprehensive regulation," the ACCJ concluded.