The history of lotteries in Panama dates back to the late 19th century, when, in 1882, the first lottery was established in the country under a private scheme. From the beginning, this activity had a social purpose, allocating a portion of its revenues to hospitals, education, and public charity. The first official draw was held on 25 February 1883, with a jackpot of 500 Colombian pesos (€ 0,10 approx)
In 1914, the administration of the lottery was taken over by the State through Law 25, and the country lottery, , was created, consolidating its social and regulatory function. Since then, the lottery has been an instrument to finance social works and has evolved by incorporating new games, such as “chance” in 1938 and extraordinary draws since 1942.
The Fiscal lottery became popular in the 1990s as an incentive for taxpayers to keep their tax obligations up to date. While the Fiscal lottery encourages taxpayers to request invoices to combat tax evasion, the traditional lottery seeks entertainment and charitable causes. Both are state lotteries, but the tax lottery requires invoices to participate, and the conventional lottery requires tickets. Their main objectives are different, although both award prizes and are regulated by the state.
From the traditional Fiscal Lottery to the newly approved regulation
The Fiscal Lottery, which boomed in the 1990s, is once again being implemented with a new regulation recently approved by the Gaming Control Board and published in the Official Gazette.
Previously, the Fiscal Lottery functioned as a mechanism to encourage tax compliance, rewarding those who presented valid invoices and tax documents. Now, the regulation establishes that all natural persons who deposit sealed envelopes with invoices or equivalent documents that meet specific requirements, such as unique numbering, registration of the tax equipment, and complete data of the issuer, may participate.
The will be in charge of administering this raffle through the Revenue Directorate and in coordination with the Gaming Control Board. Four draws are expected to be held on dates to be determined by the MEF. The prizes will be awarded as follows: five prizes of $10,000, ten prizes of $5,000, and ten prizes of $1,000, all of which are exempt from income tax and will be delivered via ACH bank transfer.
Strategies guarantee openness and stop fraud in the Fiscal Lottery
Panamanian authorities created the Fiscal Lottery with explicit safeguards to guarantee the process’s integrity and transparency. Participation is conditional on the presentation of invoices or fiscal documents that comply with a series of technical and legal requirements, such as the correct denomination, unique numbering per invoicing point and registration of the budgetary equipment, which makes forgery or misuse difficult.
Another requirement is that only invoices issued within the last two months will be accepted. This action would limit the possibility of manipulation of old or outdated documents.
Paying prizes via ACH bank transfer also helps maintain a transparent and secure record of winners, thus avoiding cash payments that could be susceptible to irregularities.
Benefits for Panamanian taxpayers
Authorities plan to inform taxpayers about the new conditions and prizes through the official channels of the Ministry of Economy and Finance and the .
The fiscal lottery offers a double incentive: fostering a culture of legality and budgetary responsibility while also providing the opportunity to win tax-exempt cash prizes.
The possibility of participating with multiple envelopes also expands the options for taxpayers, making the initiative more attractive.
The Panama Fiscal Lottery is presented as a renewed tool that combines the historical tradition of lotteries in Panama with modern control and transparency strategies, aiming to strengthen tax collection and reward citizens who are committed to complying with the law.
This article was first published in Spanish on 3 June 2025.
