Law No. 19. 995 (2005) - the basis of casino regulation

Introduction: the "zero point" of the modern model

On January 7, 2005, Chile adopted Law No. 19. 995 "On the establishment of common foundations for the permission, functioning and supervision of casinos," which for the first time at the national level recorded that casinos and all games held in them are regulated by a single framework and a special regulator - Superintendencia de Casinos de Juego (SCJ).

1) Key elements of Law No. 19. 995

1. Regulator and its mandate.

The Act establishes the SCJ as an autonomous public service representing the state in parts of casino authorization, operation, and supervision.

2. Permissive mode.

Casino operation is allowed only with a special permit (permiso de operación), while the Law sets the basic criteria for admission and requirements for projects. Details - in the by-law Decreto Supremo No. 287 (Ministry of Finance, 2005), which regulates the design of halls, personnel, control, grounds for termination of permission and sanctions.

3. What exactly is considered a "casino game."

SCJ maintains and updates the "Catalog of Games" - the official list and rules of conduct (roulette, card, dice, slot machines, bingo). This is not just a list, but a set of procedures and technical requirements for playing games in the halls.

4. Taxation and fees.

For casinos operating under Act No. 19. 995, special taxes are provided, including a fixed entry fee (0.07 UF) and other specific payments; at the same time, special transitional provisions were applied to "municipal" casinos until the expiration of their previous concessions.

5. Transitional and exceptional norms.

The law established transitor articles that determined the fate of already existing (municipal) casinos and the terms during which separate regimes remained for them until a complete transition to a common model.

2) Regulations and by-laws: how the law comes to life

Central by-law - DS 287/2005 (Ministry of Finance): it specifies the procedure for functioning and supervision, including requirements for premises, equipment, personnel qualifications, internal control, termination of permits and liability measures. On the SCJ website, DS 287 is listed as the basic regulation used in control practice.

The system is supplemented by SCJ circulars (explanations on the timing of the launch of projects, the application of articles of law and regulations, etc.), which are addressed to operators and integrators.

3) SCJ Oversight: Four Control Pillars

• Responsible Play, Prevention of Money Laundering (PLA/FT), Cybersecurity, Protection of Public Faith (fé pública).

Fiscalization covers both "field" gaming processes and the legal, financial, commercial and security aspects of casino operations, including the self-exclusion system, AML control (together with UAF) and the IT circuit.

4) "Catalog of games": what and by what rules can be offered

SCJ approves and updates the Catalogue where rules, technical parameters and operational procedures are written for each category. The document was approved by a 2006 resolution and was repeatedly updated; the current version is published on the SCJ website. For the operator, this is a legal roadmap for a specific game in the hall.

5) Tax logic of Law No. 19. 995 (in general terms)

• the law introduced special taxes on casinos in force from the date of entry of the regime (May 7, 2005);
• for municipal casinos, transitional clauses (Art. Transit.) until their concessions are exhausted;
• in addition to special fees, casinos also pay general taxes on tax, and the structure of payments is tied to the status of the object (municipal/permitted by 19. 995).

6) What exactly changed the law for the industry

Uniform rules instead of "islands." The law unified the "casino" class across the country and created a single regulatory center (SCJ), which allowed the launch of resort projects and concession competitions in the regions.

Transparency of games and operations. Through the DS 287 and the Game Catalog, procedures, technical requirements and responsibilities are clearly defined; this reduced arbitrage space and built trust.

Strong compliance contour. SCJ built responsible play, AML and cybersecurity into the regulatory cycle, bringing the industry closer to OECD/LATAM best practices.

7) How it works today (2025): "on the ground" and in numbers

On the "land" (offline casino) there is a bunch of Law 19. 995 → DS 287 → SCJ catalog → circulars, with SCJ regularly publishing updates and compilations of norms for operator convenience. (Current compilations and compendia are available on the SCJ portal.)

As for online, there is no special "digital" law yet: the sphere is discussed separately (this goes beyond 19. 995). Basis 19. 995 - namely casinos as ground facilities and their operation under the supervision of SCJ.

FAQ

Who issues a casino permit in Chile?

SCJ created by Act No. 19. 995; she also controls the functioning and performs supervision.

Where are the "technical" details of the casino?

In DS 287/2005 (Ministry of Finance) and in the SCJ Games Catalog - there are rules for halls, staff, sanctions and regulations for each game.

Are there special taxes for casinos?

Yes I did. Law No. 19. 995 set special fees including admission fee (0.07 UF), plus general taxes apply; transitional norms are provided for "municipal" casinos.

Law No. 19. 995 - the "skeleton" of the Chilean casino model: he created the SCJ, introduced a permitting and supervisory circuit, enshrined the regulations of the Ministry of Finance (DS 287) and the Catalog of Games as operational "manuals." Thanks to this, the market received transparent conditions of entry and work, and the state - effective instruments of control, security and fiscal collection. That is why 19. 995 is considered the foundation of the industry and the starting point for all subsequent reforms.