The Dominican Republic advances the creation of a gambling framework.

The Dominican Republic advances the creation of a gambling framework.

The first reading of the measure governing lotteries and other games of chance in the Dominican Republic has been passed by the Senate Plenary.

The new legislative measure aims to establish regulations governing the authorization, oversight, and supervision of individuals and legal entities that develop, operate, or market any kind of gambling or betting activity within the national territory. This would be a significant development for the country's gambling framework.

The committee's report was delivered to the Senate plenary by Senator Guillermo Lama, who also asked that it be added to the current session's schedule.

Senator Félix Ramón Bautista Rosario and Senate Vise President Pedro Catrain introduced the bill, which was combined into a single proposal based on Senator Catrain's version.

According to the law, the Dominican Republic's gambling business has grown significantly in recent years in all areas, including lotteries, casinos, sports bookmakers, and internet betting sites.

More than 71,000 lottery and sports betting outlets are registered nationwide, according to official data from the Ministry of Finance's Directorate of Casinos and Games of Chance. This shows how dynamic the industry is and emphasizes the need for more stringent government regulation and oversight.

Strong identity verification procedures, stringent advertising regulations, and particular restrictions pertaining to betting products and events are all part of the new legislation that controls the gambling business and attempts to keep minors from using online betting platforms.

The Effects of Tax Reform on the Lottery and Gambling Sector
In the meantime, lawyer Yamile Gutiérrez examined the ramifications of the recently passed Law 30-26 on Pro-Economic Growth Measures, Tax Simplification, and Mitigation of the International Crisis, highlighting the necessity of striking a balance between the goals of tax revenue and the viability and competitiveness of licensed operators in the industry.

According to Gutiérrez, the new law represents a paradigm shift for a sector of the Dominican Republic's economy that is already heavily controlled and extensively monitored. She did point out that licensed operators must carefully consider how the new regulations may impact their operational and financial structures.

"The reform has already been approved, and the priority now is to ensure that its implementation strengthens the economy without undermining the competitiveness of businesses that comply with the law," said Gutiérrez.

The expert emphasized that the presence of illicit operators that operate without licenses, government monitoring, or compliance with the tax and regulatory duties imposed on formally constituted enterprises remains one of the sector's primary issues.

Additionally, she cautioned that global experience demonstrates that raising taxes on licensed businesses in the absence of a successful plan to stop illicit gaming will skew the market and benefit those who operate outside the law.

"Illegal operators don't pay taxes, don't put anti-money laundering programs in place, don't protect customers, and don't use responsible gambling practices." As a result, any attempt to raise tax income must be backed by swift measures to stop illicit activities, she said.