Costa Rica Jurisdiction

For many years now, online casino and online sports book operators have sought refuge to Costa Rica as a home for their companies. With over 400 different internet gaming companies operating from within its borders, Costa Rica's lack of a regulatory agency creates an unstable situation for customers and the internet gaming industry, in general.

The simple answer is a lack of limiting regulations and the financial benefits. The only two requirements for operating an online casino or sports book from Costa Rica is that the company must acquire a normal business license from the Ministerio de Economía Industria y Comercio for approximately $5,000 per year. The second rule is that the internet gambling operation is not allowed to accept wagers from residents of Costa Rica. Aside from that, the other primary financial benefit for locating in Costa Rica is that all revenues related to online gaming are considered foreign sources of income. Under Costa Rican law, foreign sources of income are exempt from taxes. Click for Costa Rica bingo sites. T&C's apply to all bonus offers on this site. Click for a list of all jurisdictions.



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eGaming Operators in Costa Rica

Are There Any Cons for Online Gaming Operators?

There are a couple of negative issues that online gaming operators in Costa Rica need to consider. First, banks in Costa Rica are controlled by U.S. banking authorities, which prohibits them from accepting banking transactions related to online gaming. The operator has to open a bank account is a different jurisdiction, which creates logistical problems. A second problem has to do with perception. Over the years, online gamblers have become more knowledgeable and sophisticated. Given the choice of dealing with a highly regulated online gaming site or one that lacks regulations is not a difficult choice. The Costa Rican operators are aware of this issue and do anything they can to alleviate the bias. Some even market that they are licensed in Costa Rica. While that's a true statement, it is only a business license with no provisions for gaming regulation. It is only in the last few years that the government has begun looking into establishing some type of gaming authority.

What Are the Cons for Customers Choosing Costa Rican Gaming Sites?

Gambling has long fought the perception that it is a seedy endeavour. Without any regulations or restrictions, the online gaming operators are left to regulate themselves. That can't be a good thing for customers. First, there are no regulations regarding the "fairness and safety" of the software. Therefore, players can never be sure that the gaming programs are clean and free of dubious results. Secondly, there are no clear remedies for disputes between the casinos/sports books and the customers. Disputes can arise from either gaming results or payments. With no independent body to adjudicate these disputes, the customers are always at the mercy of the casino operators who are obviously biased.

It would be wrong to assume that all online gaming operations located in Costa Rica are of dubious character. It is up to the customer to do their own due diligence and make their own decision regarding the site's integrity and reputation.

Click to visit Ministerio de Economía Industria y Comercio website.

Posted by CCJ Team