Following the introduction of the compliance system that allows foreign online betting, gambling, and casino platforms serving Chilean users to meet their VAT obligations, the Chilean Internal Revenue Service (SII) announced the list of platforms registered for digital VAT payments. Notably, the SII provided a list of unregistered platforms to which the taxpayer change mechanism will apply, as well as the SII's next steps.

VAT Compliance System for Online Betting Platforms

Since July 15, 2026, the SII has been applying a mechanism to shift VAT responsibility to online betting platforms that had not registered for digital VAT purposes. For context, under the new rules, services provided by foreign online betting, gambling, and casino platforms are treated as digital services and are therefore subject to VAT. Foreign companies providing these services must register under Chile’s simplified VAT regime for remote services, file VAT returns, and pay the tax accordingly.

The SII announced a list of 25 online betting companies that completed registration under the simplified tax regime for declaring and paying VAT on digital services. At the same time, the SII introduced a taxpayer change mechanism for online betting, gambling, and casino platforms operating in Chile that have not registered for digital VAT purposes.

This measure aims to ensure that foreign digital platforms without a registered domicile or residence in Chile properly comply with their VAT obligations. Under these rules, responsibility for collecting VAT shifts to payment method operators, such as payment processors, which must withhold 19% VAT from each transaction made through the affected platforms and remit the collected amount to the SII each month.

Key Takeaways

The system is built on the SII’s experience since 2021, when Chile introduced VAT on digital services provided by foreign suppliers. By using information from credit cards, debit cards, prepaid cards, and other payment sources, the SII can identify foreign betting platforms operating in Chile and monitor their compliance with VAT requirements. According to the SII, automated monitoring will let it track whether online betting platforms properly register, declare, and pay digital VAT.