Plans to Remove Tax on Sportsbooks in Panama

As sports betting gets more and more popular as an industry to earn money on, bookie software services are getting more popular. Because just like any business, a sportsbook that runs faster can bring in more income. This is why a sportsbook pay per head service is the top option for bookies. Not only that, but having an online sportsbook allows you to enjoy a wider market on an international level. And sports betting in other countries, sportsbooks in Panama, for example, may get a great break.

The head of the Junta de Contorl de Juegos (JCJ), which is the country’s gaming regulatory body, may have something good for sportsbooks. According to the agency, the Ministry of Economy and Finance of Panama will take out the 5.5% tax on gambling winning. This applies to any and all withdrawals or any conversion or tokens and chips to cash.

Sportsbooks in Panama

sports betting in PanamaAccording to JCJ Secretary Manuel Sanchez Ortega, this measure will give a boost to Panama’s tourism and hospitality industry. The policy will cover all gambling activities such as sports betting, bingo, casino slots and gaming tables. This is something that the tourism industry supports, especially since occupancy in hotels have been down by 45% in the last couple of years. This has resulted in the loss of 40,000 jobs. Its also not helping that the current rate of tourism is just 3.7%.

But the gaming body has suggested this for a long time. They have been fighting for the tax to be scrapped since the measure was passed. They have argued that this takes out the ability of

Panama to be competitive with neighboring Latin American countries. And the agency was right, as shown by industry data. From $96.1 million, gambling revenue dropped to $79 million in 3 years. Scrapping the tax will be one measure to help the local gaming and tourism industry improve their numbers.