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Colombia’s Constitutional Court rejects gambling tax rise
Colombia’s Constitutional Court has ordered the suspension of the economic emergency decree issued by President Gustavo Petro that increased iGaming taxes.
The court’s full chamber voted 6-2, with the decision based on a report prepared by magistrate Carlos Camargo, who stressed that it was necessary to end the economic emergency in order to prevent legal harm.
Camargo’s 86-page report stated both formal and substantive problems in the decree. According to him, the declaration had procedural irregularities and insufficient reasoning for all eight causes invoked by the government to support the application of emergency powers.
The magistrate argued that these issues were enough to justify the use of a precautionary suspension to avoid legal effects before the constitutional review is completed.
The ruling temporarily blocks Legislative Decree 1390 of December 22, 2025, which imposed a 19% VAT on online gambling and betting services as a result of the declared economic and social emergency.
President Petro responded that the ruling would lead to more economic consequences and would protect the tax advantages of the wealthiest sector. He added that he plans to revisit the issue in Congress to prevent the unfair outcomes, as the burden of the crisis would be on society.
A timeline hasn’t yet been set for a final court decision; however, the suspension will remain in place while the proceedings continue.
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