Mexico Supreme Court Backs States On Gambling Taxes

Mexico’s constitution does not prevent states from imposing their own gambling taxes on top of those already applied by the federal government, according to a Supreme Court ruling last week.

In denying injunctions to three Mexican gaming operators, the National Supreme Court of Justice ruled on Thursday that two local gambling taxes adopted in Nuevo Leon state in 2017 “do not disrupt the principles of tax fairness provided for in the Federal Constitution”.

Mexico’s network of nearly 380 licensed gaming halls currently pay a headline federal tax of 30 percent of revenue, plus other levies and fees, with the industry subject to licensing and regulation by the federal government rather than individual states.

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