Colombia Introduces 16% Consumption Tax on Online Gambling

Emergency Decree Targets Online Gambling

Officials confirmed the rule through Decree 0240, issued under emergency fiscal powers. The tax applies to games of chance offered through internet casinos. Authorities say the measure should raise funds for repair work and emergency aid.

The decree followed weeks of strong rain and floods across many areas. Several towns reported damage to homes, roads, and public services. President Gustavo Petro approved the step as part of wider fiscal actions. The government declared a national economic emergency linked to climate disasters. That move allowed officials to pass temporary financial rules quickly.

According to the decree — the online gambling sector shows strong income results. Officials say gaming income has grown in recent years. That growth suggests the sector can carry extra taxes. Authorities believe companies may handle the cost without major problems. Hence — lawmakers chose the sector as a quick funding source. The aim is simple — raise money for relief work.

Budget Pressure Drove the Decision

Budget pressure also pushed the government to act quickly. Officials say the 2026 national budget has limited funds for disaster response. Two financing bills failed during debates in Congress earlier this year. Those failures forced policymakers to search for other funding options.

Beyond those setbacks — climate disasters increased economic pressure. Floods damaged roads, homes, and local services. Some regions also faced business problems after the storms. Authorities say urgent funding now supports emergency aid and repair work. The gambling tax could bring quick public income. Nevertheless — officials describe the rule as temporary. Broader tax changes may appear later if pressure continues.

Other Measures in the Emergency Decree

The gambling tax forms only one part of the wider emergency package. The decree also includes several other fiscal measures. These steps aim to raise money and improve tax collection. Key measures include:

• A temporary wealth tax for undeclared assets

• Changes to the current wealth tax rules

• Lower penalties for taxpayers settling overdue debts

Taxpayers with debts before December 31, 2025 may use this program. They must complete payments before April 30 to receive reduced penalties. Subsequently — officials expect better tax collection across several sectors.

For now — attention remains on the gambling industry. Casinos and users now watch closely as the new tax begins.