Mexico: SEGOB's DGJS issues gaming permits under the 1947 LFJS; permit holders may take bets online. IEPS gaming tax rose to 50% in 2026.
Licensing model
Limited Licences
Minimum age
18
Currency
MXN
Official language
Spanish
Licence types
4
On this page
Key points for operators and suppliers
1
Only Mexican commercial companies can hold permits for remote betting centres and number-draw halls, and each permit covers a single establishment
2
Internet, phone and electronic betting is allowed through permitted establishments once SEGOB approves the betting mechanics
3
Slot machines are banned in any form, and card games, dice and roulette are not treated as draws (2023 reform)
4
IEPS on games with bets and draws is 50% from 2026, charged on amounts received less prizes paid, and foreign online operators are taxed on gross receipts
5
No separate supplier or B2B licence exists in the LFJS or its Regulation
What Mexico asks of a licensee
The four questions that decide whether a market is worth entering.
Not requiredSeparate B2B supplier licence
RequiredLocally incorporated entity
Not statedServers or data held locally
Not requiredLocal domain or landing page
Mexico has no dedicated online gambling law. The Federal Law on Games and Draws of 1947 prohibits games of chance and betting except for listed sports, races and draws, and gives the Ministry of the Interior (SEGOB) the power to permit and supervise them through its Directorate General of Games and Draws (DGJS). Under the 2004 Regulation, permits for remote betting centres, number-draw halls, racetracks and frontons go only to Mexican commercial companies, and these establishments may take bets via the internet, phone or electronic means once SEGOB has approved the betting mechanics. A November 2023 reform of the Regulation bans slot machines in any form, states that card games, dice and roulette are not draws, and stops new permits and extensions for activities outside the Regulation; permits already operating are honoured until they expire. From 1 January 2026 the special tax on production and services (IEPS) on games with bets and draws rose from 30% to 50%, and it now also applies to foreign online operators without a Mexican establishment.
Which verticals are legal in Mexico
Status is the position for a licensed operator, not for offshore supply.
Daily Fantasy Sports
Not stated
Esports Betting
Not stated
Horse Racing / Pool Betting
Licensed
Parimutuel and other betting at permitted racetracks, dog tracks and frontons, and through remote betting centres.
Land-based Casino
Prohibited
Slot machines are banned, and card games, dice and roulette are not permitted draws. Establishments operating under earlier permits are honoured until their permits expire.
Online Bingo
Not stated
Online Casino
Prohibited
Slot machines are banned in any form, and card games, dice and roulette are not permitted draws. Permits granted before November 2023 are honoured until they expire.
Online Lottery
Licensed
Draws need a SEGOB permit and may take participants via internet or phone. The National Lottery is governed by its own law.
Online Poker
Prohibited
Card games with bets in any form are not permitted draws, and new permits are not granted for them.
Online Sports Betting
Licensed
Offered by SEGOB-permitted remote betting centres and racetracks or frontons, which may take bets via internet, phone or electronic means.
Retail Betting
Licensed
Remote betting centres (libros foráneos) and racetrack or fronton betting need a SEGOB permit.
Skill Games
Not stated
Social / Sweepstakes Casino
Not stated
Mexico licence types and what they cost4
Fees are the published headline figures. Tiered and revenue-banded amounts
are set out in the notes under each licence.
Permit for betting at racetracks, dog tracks and frontons
Land-based
Mexican commercial companies that operate betting on horse races, greyhound races or fronton (jai alai) games at a permanent venue.
Application
—
Annual
—
Term
15 years
Processing
—
Validity runs from 1 to 15 years, with extensions (art. 33). The technical consultation body and the Advisory Council have 60 business days to give their opinions (art. 49).
Conditions to satisfy
Mexican commercial company
Prize-payment bond covering 60 days of average unpaid prizes
Audited quarterly and annual financial statements
At least 25% independent board members
No shareholders in preferential tax regimes
Favourable opinion of the state and municipality
10-year financial viability study
Horse Racing / Pool BettingRetail Betting
Permit for the installation and operation of a number or symbol draw hall (sala de sorteos de números o símbolos)
Land-based
Mexican commercial companies that operate halls for number or symbol draws, such as pre-printed-card number draws.
Application
—
Annual
—
Term
15 years
Processing
—
Validity runs from 1 to 15 years, and extensions are possible (art. 33).
Conditions to satisfy
Mexican commercial company
Prize-payment bond covering 60 days of average unpaid prizes
Audited quarterly and annual financial statements
At least 25% independent board members
No shareholders in preferential tax regimes
Favourable opinion of the state and municipality
10-year financial viability study
Permit for the installation and operation of a remote betting centre (centro de apuestas remotas / libro foráneo)
B2C Operator
Mexican commercial companies that take bets on sports, races and other permitted events held in Mexico or abroad. Permitted establishments may also take bets via internet, phone or electronic means.
Application
—
Annual
—
Term
15 years
Processing
—
Validity runs from 1 to 15 years, with extensions of up to 15 years if obligations are current (art. 33). A federal participation (share of proceeds) is set in each permit (LFJS art. 5). Application fees were not captured.
Conditions to satisfy
Mexican commercial company
Prize-payment bond covering 60 days of average unpaid prizes
Audited quarterly and annual financial statements
At least 25% independent board members
No shareholders in preferential tax regimes
Favourable opinion of the state and municipality
10-year financial viability study
SEGOB approval of internet betting mechanics
Online Sports BettingRetail BettingHorse Racing / Pool Betting
Permit to hold draws (sorteos)
B2C Operator
Individuals and legal entities constituted under Mexican law that run draws with or without ticket sales, instant draws or promotional draws. Participants may be taken via internet or phone.
Application
—
Annual
—
Term
1 year
Processing
—
Draws with or without ticket sales and instant draws: up to 1 year. Draws in marketing systems: as long as needed to deliver the goods or services (art. 33).
Conditions to satisfy
Mexican individual or entity
Prize-payment bond
Ticket sample and draw mechanics
Prize quotations
SEGOB inspector present at draw
Online Lottery
Permit for betting at racetracks, dog tracks and frontons
Land-based
Mexican commercial companies that operate betting on horse races, greyhound races or fronton (jai alai) games at a permanent venue.
Application
—
Annual
—
Term
15 years
Processing
—
Validity runs from 1 to 15 years, with extensions (art. 33). The technical consultation body and the Advisory Council have 60 business days to give their opinions (art. 49).
Conditions to satisfy
Mexican commercial company
Prize-payment bond covering 60 days of average unpaid prizes
Audited quarterly and annual financial statements
At least 25% independent board members
No shareholders in preferential tax regimes
Favourable opinion of the state and municipality
10-year financial viability study
Horse Racing / Pool BettingRetail Betting
Permit for the installation and operation of a number or symbol draw hall (sala de sorteos de números o símbolos)
Land-based
Mexican commercial companies that operate halls for number or symbol draws, such as pre-printed-card number draws.
Application
—
Annual
—
Term
15 years
Processing
—
Validity runs from 1 to 15 years, and extensions are possible (art. 33).
Conditions to satisfy
Mexican commercial company
Prize-payment bond covering 60 days of average unpaid prizes
Audited quarterly and annual financial statements
At least 25% independent board members
No shareholders in preferential tax regimes
Favourable opinion of the state and municipality
10-year financial viability study
Permit for the installation and operation of a remote betting centre (centro de apuestas remotas / libro foráneo)
B2C Operator
Mexican commercial companies that take bets on sports, races and other permitted events held in Mexico or abroad. Permitted establishments may also take bets via internet, phone or electronic means.
Application
—
Annual
—
Term
15 years
Processing
—
Validity runs from 1 to 15 years, with extensions of up to 15 years if obligations are current (art. 33). A federal participation (share of proceeds) is set in each permit (LFJS art. 5). Application fees were not captured.
Conditions to satisfy
Mexican commercial company
Prize-payment bond covering 60 days of average unpaid prizes
Audited quarterly and annual financial statements
At least 25% independent board members
No shareholders in preferential tax regimes
Favourable opinion of the state and municipality
10-year financial viability study
SEGOB approval of internet betting mechanics
Online Sports BettingRetail BettingHorse Racing / Pool Betting
Permit to hold draws (sorteos)
B2C Operator
Individuals and legal entities constituted under Mexican law that run draws with or without ticket sales, instant draws or promotional draws. Participants may be taken via internet or phone.
Application
—
Annual
—
Term
1 year
Processing
—
Draws with or without ticket sales and instant draws: up to 1 year. Draws in marketing systems: as long as needed to deliver the goods or services (art. 33).
Conditions to satisfy
Mexican individual or entity
Prize-payment bond
Ticket sample and draw mechanics
Prize quotations
SEGOB inspector present at draw
Online Lottery
Gaming tax and regulatory charges
Everything a licensee pays in Mexico on top of the licence fee.
Charge
Rate
Charged on
Paid by
IEPS - online games and draws offered by foreign residents without a Mexican establishmentTurnover / Stakes Tax
50%50% of total amounts received from participants, with no deductions
Total amounts actually received from participants, with no deductions (art. 18 last para.). The service counts as provided in Mexico when the recipient is in Mexico (art. 18-B).
Income tax (ISR) withholding on prizesPlayer Winnings Tax
Games with bets: 1% of the total amount distributed to winning tickets. Lotteries, raffles, draws and contests: 1% of the prize value, or 21% in states whose local tax on such prizes exceeds 6%
What the SEGOB (DGJS) expects once a licence is granted.
AML & KYC requirements
AML notices and registrationB2C Operator
Transactions at or above 645 times the daily UMA must be notified to the Ministry of Finance by the 17th of the following month through the official electronic portal. Anyone carrying out a vulnerable activity must also register in the vulnerable-activities register.645 UMA (notice)Source
Gambling is a vulnerable activity: customer identificationB2C Operator
Ticket sales, prize payments and other financial transactions with players at or above 325 times the daily UMA must be preceded by identifying the customer with official documents and checking for a beneficial owner. Records must be kept for at least 10 years.325 UMA (identification)Source
Report suspected organised crime or illicit fundsB2C Operator
Permit holders must report to the competent authorities, and notify SEGOB of, any user conduct that may amount to organised-crime or money-laundering offences.Source
Responsible Gambling requirements
Minors barred from bettingB2C Operator
Minors may not enter or stay in betting areas and may never take part in betting. Permit holders must check that people entering betting areas are not in a barred category.18Source
Technical & Certification requirements
Internal controls for internet, phone and electronic bettingB2C Operator
Establishments taking bets via internet, phone or electronic means must have a written internal control system that prevents manipulation. It must record at least the account number and bettor identity, and the date, time, transaction number, stake and selection. SEGOB must approve the betting mechanics beforehand.Source
Online bets recorded in the central betting systemB2C Operator
No paper ticket is issued for remote bets. The bet must be logged in the central betting system as soon as it is paid, and online bettors must be able to view and print a record of their folio number and rights. Phone bets must be audio-recorded with the bettor's consent.Source
Real-time data link to SATB2C Operator
Operators that habitually run games with bets and draws in fixed establishments must keep a central betting system and a cash-control system, and give SAT permanent online, real-time access to them. Failing to do so can lead to closure of the establishment.Source
Player Funds requirements
Prize claims and ticket validityB2C Operator
Winning betting receipts can be cashed for 60 business days after the event, and bets on suspended events must be refunded. Winners who are not paid may file a claim with SEGOB, which can sanction the permit holder and order payment.60 business daysSource
Prize-payment bondB2C Operator
Remote betting centre, number-draw hall, racetrack and fronton permit holders must keep a bond from an authorised institution for the whole permit term. It must cover unpaid prizes for 60 days of average annual operation and be filed with SEGOB within 3 days of taking effect.60 days of average unpaid prizesSource
Payments requirements
Cash, or bank-confirmed payment for remote betsB2C Operator
Bets are taken in cash, except internet, phone or electronic bets. Those count as paid once the bank confirms the payment to the bettor or the permit holder.Source
Mexican pesos onlyAll Licensees
All operations of games with bets and draws must be carried out in Mexican currency.MXNSource
No credit to playersB2C Operator
Permit holders may not give credit to bettors or draw participants, directly or indirectly.Source
Game Design requirements
Eligible betting eventsB2C Operator
Bets may not be taken on domestic non-professional events or events outside the top professional league of the sport, or after the betting close in the central betting system. Bets may not feed into parimutuel pools or remote betting centres located outside Mexico.Source
Slot machines banned; card games, dice and roulette not drawsAll Licensees
Slot machines are prohibited in any form, defined as any device where a user bets cash or any other payment to win a prize. Card games, dice and roulette cannot be treated as permitted draws.Source
Advertising & Marketing requirements
Advertising contentB2C Operator
Advertising must be clear and not mislead the public. It must carry a message that betting is prohibited for minors and a message urging people to play responsibly, mainly for entertainment.Source
Advertising only after permit, with permit numberB2C Operator
Games with bets and draws may be advertised by any medium only once the SEGOB permit has been granted, and all advertising must show the permit number.Source
Establishments may not explicitly promote bettingB2C Operator
Permitted establishments may not explicitly promote the bets offered inside them.Source
Prior approval of special or promotional eventsB2C Operator
The permit holder must ask SEGOB for authorisation at least 30 days before holding special or promotional events at remote betting centres. The DGJS form covers physical and internet or electronic centres.30 days' noticeSource
Other requirements
Financial and revenue reportingB2C Operator
Permit holders must file quarterly financial statements within 20 business days of quarter-end and audited annual statements within six months of year-end. They must also report income and payment of federal participations to SEGOB every month.Source
Ownership and governanceB2C Operator
Permit holders must disclose ownership down to the ultimate beneficiary and report share transfers. They must bar shareholders based in preferential tax regimes (except listed companies and regulated funds), have at least 25% independent directors, and follow the Mexican Stock Exchange best-practice code.25% independent directorsSource
Recent regulatory changes
Newest first. Each entry links to the notice it came from.
Tax Change
IEPS on games with bets and draws raised from 30% to 50%
A decree reforming the IEPS Law raised the tax on games with bets and draws from 30% to 50%. The change took effect on 1 January 2026.
IEPS extended to foreign online gambling operators
From 2026, IEPS also covers games with bets and draws offered via internet or electronic means by foreign residents without a Mexican establishment. For them the tax is charged on total amounts received, with no deductions. Failing to comply can lead to temporary blocking of the digital service.
SEGOB published an agreement that drops some requirements, merges several DGJS procedures, shortens some resolution times and introduces single application forms. One form covers special or promotional events at remote betting centres operating physically or via internet or electronic means.
A reform of the federal anti-money-laundering law (LFPIORPI) amended the provision that makes games with bets and draws a vulnerable activity. It also changed customer identification and record-keeping duties and added registration in a vulnerable-activities register. Gambling transactions now require identification from 325 daily UMA and a notice from 645 daily UMA.
The Ministry of the Interior (SEGOB) regulates, authorises and supervises games with bets and draws under the Federal Law on Games and Draws. It acts through its Directorate General of Games and Draws (DGJS). The Tax Administration Service (SAT) administers the IEPS gaming tax.
Is online gambling legal in Mexico?
There is no specific online gambling law. Establishments holding a SEGOB permit, such as remote betting centres, may take bets via internet, phone or electronic means once SEGOB has approved their betting mechanics. Since the 2023 reform, slot machines are banned in any form, and card games, dice and roulette are not permitted draws, although permits already operating are honoured until they expire.
Do B2B suppliers need a licence in Mexico?
Neither the Federal Law on Games and Draws nor its Regulation creates a supplier or B2B licence. Permits go to the operating company, which must describe its betting systems, IT infrastructure and security and have its internet betting mechanics approved by SEGOB.
Can a foreign company get a gaming permit in Mexico?
Permits for remote betting centres, number-draw halls, racetracks and frontons are granted only to commercial companies incorporated under Mexican law. Shareholders up to the ultimate beneficiary must not be based in preferential tax regimes, unless they are listed companies or regulated funds.
What is the gambling tax rate in Mexico in 2026?
From 1 January 2026, IEPS on games with bets and draws is 50%, up from 30%. It is charged on amounts received from players less prizes paid. Foreign online operators without a Mexican establishment pay 50% on total amounts received, with no deductions.
How are players' winnings taxed?
The prize payer withholds federal income tax. It is 1% of the total distributed to winning tickets in games with bets, and 1% of the prize for lotteries, raffles and draws, or 21% in states whose local tax on such prizes exceeds 6%.
What is the minimum gambling age in Mexico?
Minors may not take part in betting or stay in betting areas, and advertising must say that betting is prohibited for minors. Under the Federal Civil Code, majority begins at 18.
What AML obligations apply to gambling operators?
Gambling under SEGOB permits is a vulnerable activity under the federal anti-money-laundering law. Operators must identify customers in transactions from 325 daily UMA, notify transactions from 645 daily UMA by the 17th of the following month, and keep records for at least 10 years.
Primary legislation and instruments
The statutes, regulations and technical standards this page is built from.
A SEGOB agreement that drops some requirements, merges procedures, shortens resolution times and adds single application forms for DGJS procedures. These include requests for special or promotional events at remote betting centres, physical or via internet or electronic means.
Arts. 137-139 tax individuals' prizes from lotteries, raffles, draws and legally authorised games with bets. The payer must withhold the tax and issue tax receipts.
The AML law. Art. 17 I makes games with bets, contests and draws run under SEGOB permits a vulnerable activity, with customer identification, record-keeping and notice duties above set UMA thresholds.
It sets the permit types (racetracks, dog tracks, frontons, remote betting centres, number-draw halls, fairs, cockfights and draws), the application requirements, permit holders' obligations, internet and electronic betting controls, advertising rules and sanctions. The 2023 reform bans slot machines, excludes card games, dice and roulette from draws, and stops new permits for activities outside the Regulation.
It levies IEPS on games with bets and draws (art. 2 II B), sets the tax base (art. 18) and requires operators to give SAT real-time access to their betting and cash systems (art. 20). Since 2026 it also covers online games and draws offered by foreign residents without a Mexican establishment.
The primary statute. It prohibits games of chance and betting nationwide except the listed sports, races and draws, and gives SEGOB power to regulate, authorise, control and supervise games with bets and draws (except the National Lottery). It also sets criminal penalties and administrative fines for unauthorised gambling.
Compiled from official regulator and government sources, most recently on 26 Sept 2026. It is a starting point for commercial research, not legal advice — confirm the current position with the SEGOB (DGJS) or local counsel before you act on it.
