Regulatory AuthorityJunta de Control de Juegos (JCJ)
License CostVaries
Regulation by Activity Type
Casinos
Regulated
Online Casinos
Regulated
Betting
Regulated
Online Betting
Regulated
Lotteries
Regulated
Poker
Regulated
Highlights
Panama regulates gambling under Law No. 2 (1998) and Resolution No. 25 (2022), covering both land-based and online gaming.
The industry is overseen by the Junta de Control de Juegos (JCJ), responsible for licensing, supervision, and enforcement.
Online gambling licenses require a $40,000 initial fee and an annual renewal fee of $20,000, with a straightforward application process.
Operators must pay 10% of gross gaming revenue (GGR) monthly as tax, plus maintain mandatory financial guarantees.
All licensed operators must register their company in Panama, open a local office, and appoint at least three directors.
Strict anti-money laundering controls and player protection measures are enforced, including account history transparency.
Panama positions itself as a gaming hub for Central America and the Caribbean, actively supporting industry innovation and growth.
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Legislation
Primary Legislation
The legal framework governing gambling in Panama is established primarily by the following laws and regulations:
Law No. 2 of 1998: This is the principal statute regulating both land-based and online gambling activities in Panama. It sets out the foundational legal provisions for the operation, supervision, and control of all forms of gaming within the country.
Resolution No. 25 of 2022: This regulation provides updated provisions and clarifications for the implementation of Law No. 2, particularly addressing the regulation of online gambling and remote gaming operations.
These legal instruments collectively establish the core requirements for the conduct of gambling activities, including the definition of permitted gaming types, the general legal obligations of operators, and the framework for regulatory oversight. The legislation is designed to ensure the integrity, fairness, and transparency of gambling operations in Panama.
Regulatory Authority
Oversight and enforcement of gambling laws in Panama are the responsibility of a dedicated regulatory body:
Junta de Control de Juegos (JCJ) (Gaming Control Board): The JCJ is the central authority tasked with the regulation, supervision, and control of all gambling activities in Panama. It operates under the Ministry of Economy and Finance and is empowered by the primary legislation to issue regulations, monitor compliance, and enforce the legal framework.
The JCJ is responsible for ensuring that all gambling activities adhere to the standards of integrity, player protection, and responsible gaming as set forth in Panamanian law.
License Types
Types of Gambling Licenses in Panama
Online Gambling License: Authorizes the operation of internet-based gambling platforms, including online casinos, sports betting, and other remote gaming activities.
Land-Based Gambling License: Covers physical casinos, slot parlors, bingo halls, and other brick-and-mortar gaming establishments.
Application Process for Gambling Licenses
Applicants must establish a Panamanian company and open a local office.
A minimum of three directors is required for the company.
Applicants must submit a comprehensive application to the Junta de Control de Juegos (JCJ), Panama's Gaming Control Board.
The application must include detailed business plans, proof of financial stability, personal and corporate documentation, and information on gaming software and systems.
All gaming equipment and software must be registered with the JCJ.
The process typically takes between 2 to 8 months, depending on the completeness of the documentation and any additional requests from the regulator.
Duration, Renewal, and Eligibility
Online gambling licenses are generally issued for a period of seven years.
Renewal is subject to continued compliance with regulatory requirements and payment of annual fees.
Eligibility is limited to companies incorporated in Panama that meet the fit and proper criteria for directors and shareholders, demonstrate financial solvency, and maintain a local presence.
Licensing Costs and Financial Requirements
Fee Type
Amount (USD)
Notes
Initial License Fee ("Right of Key")
$40,000
One-time payment upon license issuance
Annual License Fee
$20,000
Payable each year to maintain the license
Processing Costs
Approx. $10,000
Administrative and legal expenses
Operators must also provide financial guarantees to ensure operational stability and player protection.
Key Requirements for Obtaining and Maintaining a License
Proof of company incorporation and local office in Panama.
Appointment of at least three directors who pass background and fit-and-proper checks.
Submission of a detailed business plan, including operational, technical, and financial information.
Registration (not prior authorization) of all gaming software and equipment with the JCJ.
Demonstration of robust anti-money laundering (AML) procedures and player protection measures.
Ongoing compliance with JCJ regulations, including regular reporting and audits.
Timely payment of all fees and maintenance of required financial guarantees.
Summary Table: Panama Gambling License Overview
License Type
Initial Fee
Annual Fee
Duration
Key Requirements
Online Gambling
$40,000
$20,000
7 years
Panama company, local office, 3 directors, financial guarantees, AML compliance
Land-Based Gambling
Varies (typically similar structure)
Varies
Set by JCJ
As above, with site-specific requirements
Gambling Tax
Tax Rates for Gambling Operators in Panama
Type of Gambling Operation
Tax Rate
Tax Base
All Licensed Gambling Operators (Land-based & Online)
10%
Gross Gaming Revenue (GGR)
The standard tax rate for both land-based and online gambling operators in Panama is 10% of Gross Gaming Revenue (GGR).
Tax Payment Procedures
Gambling operators are required to calculate 10% of their monthly GGR and remit this amount to the state budget.
Payments must be made on a monthly basis.
Tax Reporting Requirements
Operators must maintain comprehensive financial records and provide detailed monthly reports on their gaming revenues to the regulatory authority.
All real money wagering transactions must be fully documented and available for inspection by Panamanian authorities upon request.
Failure to comply with reporting or payment obligations can result in penalties or revocation of the gambling license.
Tax Incentives, Exemptions, and Special Provisions
No specific tax incentives or exemptions for gambling operators are publicly disclosed as of the latest available information.
There are mandatory financial guarantees required to ensure the operator’s solvency, but these are not structured as tax incentives.
The tax regime applies uniformly to both land-based and online operators without sector-specific exemptions.
Prohibited Individuals
Age Restrictions and Identification Requirements
The minimum legal age for participating in gambling activities in Panama is 18 years old. Operators are required to verify the age and identity of all players before allowing them to participate in gambling, both online and in land-based venues.
Identification checks are mandatory, and players must present valid government-issued identification to access gambling services. This applies to both physical entry to casinos and registration for online gambling platforms.
Prohibited Activities and Game Restrictions
Only authorized forms of gambling are permitted. Any gambling activities not expressly licensed or regulated by the authorities are prohibited.
Unlicensed gambling operations, including unauthorized online platforms and underground betting, are strictly forbidden.
Specific games or activities may be restricted or subject to approval by the regulatory authority, with unauthorized or unregulated games not allowed in licensed venues.
Advertising and Marketing Limitations
Advertising and marketing of gambling services must not target minors or vulnerable individuals, and operators are prohibited from depicting gambling as a means to achieve financial success or social prestige.
Promotional materials must include clear information about responsible gambling and the risks associated with gambling.
All advertising must comply with standards set by the regulatory authority, and misleading or deceptive marketing practices are not permitted.
Responsible Gambling Requirements and Player Protection Measures
Operators are required to implement responsible gambling policies, including providing information and resources for problem gambling prevention and support.
Self-exclusion programs must be available, allowing players to voluntarily ban themselves from gambling activities for a set period.
Operators must offer tools for players to set deposit, loss, and session limits to help manage their gambling behavior.
Information about the risks of gambling and support services must be clearly displayed on gambling websites and within physical venues.
Strict anti-money laundering (AML) procedures are enforced to protect players and ensure the integrity of the gambling environment.
Geographic and Location Restrictions
Land-based gambling venues are restricted to specific zones and must obtain approval from the regulatory authority for their locations.
Gambling establishments cannot be located near schools, religious institutions, or other sensitive areas as defined by local regulations.
Online gambling operators licensed in Panama may offer services internationally, but must comply with geographic restrictions imposed by other jurisdictions.
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Timeline
Year/Date
Event
1997
Panama establishes the Junta de Control de Juegos (Gaming Control Board) as the main regulatory authority for gambling activities.
1998
Law No. 2 is enacted, providing a comprehensive legal framework for the regulation of land-based gambling in Panama.
2002
Online gaming is formally regulated with the adoption of the Online Gaming Act on November 12, allowing the licensing of internet gambling operators in Panama.
2022
Resolution No. 25 is introduced, updating and refining regulations for both land-based and online gambling operators in Panama.
2025
Panama's Gaming Control Board announces continued institutional support for major regional gaming events, reflecting ongoing regulatory engagement and oversight.
Requirements
Software Certification and Technical Standards
All gaming software used by operators must be registered with the Panamanian Gaming Control Board (Junta de Control de Juegos, JCJ). The software must meet required standards to ensure fairness, randomness, and integrity of games offered to players.
Technical systems, including random number generators and game outcomes, are subject to regulatory review to ensure compliance with industry standards for fairness and security.
Only approved and registered equipment and software may be used for remote and online gaming operations.
Data Protection, Privacy Measures, and Server Location
Operators are required to implement robust data protection protocols to safeguard players’ personal and financial information, in line with Panama’s data privacy regulations and international standards.
All player data and transaction records must be securely stored and protected against unauthorized access, alteration, or loss.
The location of servers is not strictly mandated to be within Panama, but all equipment used for gaming operations must be registered with the JCJ, and operators must ensure that data is accessible for regulatory inspection at any time.
Anti-Money Laundering (AML) and Know Your Customer (KYC) Procedures
Operators must implement comprehensive AML policies, including customer identification and verification procedures (KYC) for all players before allowing participation in gambling activities.
Operators are required to monitor and report suspicious transactions to the relevant authorities in compliance with Panama’s anti-money laundering laws.
Complete account histories for all real-money wagering transactions must be maintained and made available to the Panamanian government upon request.
Operators must have systems in place to detect and prevent fraudulent or suspicious activities, including automated transaction monitoring and customer due diligence checks.
Financial Reporting, Auditing Standards, and Record-Keeping
Operators are required to maintain detailed and accurate records of all gaming transactions, player accounts, and financial operations.
Financial records must be retained for a minimum period as specified by the regulator and must be available for inspection by the JCJ at any time.
Regular financial reporting to the regulator is mandatory, including submission of audited financial statements by an independent, qualified auditor.
Operators must ensure transparency in all financial dealings and comply with any additional reporting requirements imposed by the JCJ.
Technical Implementation Requirements for Responsible Gambling Tools
Operators must implement technical measures to promote responsible gambling, such as self-exclusion tools, deposit limits, and reality checks for players.
Responsible gambling tools must be integrated into the gaming platform and be easily accessible to all players.
Operators are required to provide clear information and resources about responsible gambling and support for problem gambling directly on their platforms.
Systems must be in place to monitor player behavior and intervene when signs of problematic gambling are detected.
Gambling regulations are subject to change. The information provided on this page was accurate at the time of publication, but may not reflect the current regulatory landscape. Always consult official sources for the most up-to-date information before making any gambling-related decisions.
