In November 2025, Mexico’s Senate passed a significant fiscal reform increasing the Special Tax on Production and Services for online gambling from 30% to 50%. This decision is part of a broader fiscal strategy aimed at enhancing public revenue. The Asociación de Permisionarios, Operadores y Proveedores de la Industria del Entretenimiento y Juego de Apuesta (AIEJA) has heavily criticized this move, expressing concerns that it might negatively impact licensed operators and the country’s overall economic appeal.
The reform was approved with 75 votes in favor and 37 against in the general discussion, and slightly more support of 76 votes in favor during the specific review. This new tax policy is expected to generate revenues of MXN 761.5 billion (over USD 40 billion) by 2026, marking a 10% increase from the projected collections for 2025, as reported by the Ministry of Finance. The government defends the tax increase as a necessary step to strengthen public finances.
However, the gambling industry is raising alarms about the financial burden this higher tax rate will place on operators. AIEJA contends that smaller businesses will be particularly vulnerable, facing increased operational costs that might force some to reduce their activities or even exit the market altogether.
The association has voiced strong concerns about the sustainability of Mexico’s regulated gambling market, which has seen substantial growth in recent years. They argue that the tax hike could discourage investment and hamper the sector’s expansion. “This decision risks driving legitimate operators out of business while illegal platforms thrive,” AIEJA remarked, stressing that the reform does not address the pervasive issue of illegal gambling, which comprises a significant portion of the country’s betting industry.
AIEJA estimates that 60% of online gambling operations accessible in Mexico are unlicensed or illegal, operating beyond the reach of the country’s tax and consumer protection frameworks. Without addressing this issue, the legislature might unintentionally bolster a thriving black market, potentially undermining the fiscal objectives of the new tax policy. The association has called for “effective measures to combat illegal gambling” and urged policymakers to collaborate with the industry for a better understanding of its structure before implementing such consequential changes.
AIEJA’s official statement also invites authorities and legislators to engage in dialogue with stakeholders from the gambling and entertainment sectors. “We reiterate our deep disappointment with this decision and invite our authorities and legislators to engage with the industry to understand its dynamics and enrich their analysis before making decisions that could prove counterproductive and harmful to the country,” the organization declared.
Industry analysts point out that Mexico’s online gambling sector has been a crucial driver of employment and innovation, attracting international operators and tech firms. They caution that the tax increase could reverse these gains, potentially diminishing Mexico’s competitiveness in the rapidly evolving iGaming market of Latin America. Despite opposition, the new tax is set to take effect in 2026 as part of the government’s fiscal agenda.
While some view the tax hike as a needed fiscal adjustment, others argue it could have unintended repercussions on the sector’s growth and legal compliance. Observers believe the coming year will be crucial for understanding the regulatory pressures and market responses that could reshape Mexico’s gaming landscape. This period will be telling in terms of how operators adapt and what steps legislators might take to address any unforeseen impacts of the reform.
Erik Agary is a seasoned writer at True Games Reviews, specializing in gaming, casino games, and interactive entertainment. With a passion for all things digital, Erik dives deep into the latest trends and developments in the gaming world, offering insightful reviews and detailed analysis. His expertise spans across multiple gaming platforms, ensuring comprehensive coverage that resonates with both novice and experienced gamers alike.
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