Coljuegos, the Colombian gaming regulator, has made a bold step in strengthening the regulation of online gaming bonuses. The regulator has published a draft resolution for public consultation. Its goal is to clarify how operators offer bonuses to players. This follows the implementation of VAT, or Value Added Tax, on online gaming transactions from February 22 of this year.
Since Colombia introduced VAT on online gaming, Coljuegos has observed operators dramatically changing their trends. The regulator states that operators began reimbursing players for the cost of VAT through bonuses. As a result, bonus payments increased significantly. Bonuses made up a mere 0.3% of overall bets before VAT was imposed. However, this shot up to 3.4% following VAT imposition.
While this growth benefits players in the short term, it has created financial distortions in the regulated market. The regulator notes that over-reliance on bonuses has impacted GGR, or Gross Gaming Revenue, which is a key factor in calculating exploitation rights and an important source of public revenue. Coljuegos recorded a negative deviation of contributions expected from the health sector in 2025 as a result.
Coljuegos has expressed concern that the uncontrolled granting of bonuses threatens the financial stability of the national gaming system, particularly the public health funds that rely on gambling revenue. The draft resolution aims to impose proportional controls and limits to restore balance between operator incentives and public interest.
It has been clarified by the regulator that if left unregulated, bonus-linked remuneration would lead to less transparency in taxable revenue calculation and lead to market imbalance between compliant and aggressive operators.
The proposed framework sets three essential limits on bonus use. These limits depend on whether VAT is subject to different factors or not.
For VAT-subject operations, the total bonuses paid in exchange for gameplay credits cannot exceed 1.6% of the platform’s gross revenue or total bets. This limit applies to the same operational month.
