Brazil government releases provisional measures on sports betting tax
- By: Peace Nwankpa
- May 12, 2023
- LikeUnlikeLike
- 411 Views
On Thursday, the Federal Government of Brazil informed agencies and stakeholders of an imminent executive order to implement taxes on sports betting firms and winners’ gains.
The notice was posted on the government’s website, listing the proposed measures and laws drafted by the country’s Ministry of Finance to regulate sports betting. The move could lead to new regulations to curb manipulation.
In a statement, the ministry asserted that the proposal will provide bettors with more security and confidence as a result of the “transparency of the rules and supervision.”
The measure will enlist the aid of several ministries such as Health, Management, Planning, Sports and Tourism to provide the public with the supervision and transparency needed to boost their confidence and protect consumers.
The Ministry of Finance also revealed that during the regulation’s internal approval process, “the ministries will have the possibility of editing ordinances to create mechanisms to prevent and curb cases of result manipulation.”
The proposal is yet to be formally proposed to Congress, but if approved, only accredited betting operators will be authorized to accept bets on official sporting events and advertise. Operators without a license will be prohibited from promoting their products on a wide range of platforms.
Finance Minister Fernando Haddad estimated over 12 billion reais ($2.4 billion) increase in public coffers if the measure is implemented, which will aid the government’s efforts in balancing public accounts.
The ministry proposed a 16% Gross Gaming Revenue (GGR) tax on sports betting operators. The sports betting tax will be calculated based on the “revenue obtained from all games played, minus the prizes paid to players.”
Under the measure, players will also be expected to remit 30% of income tax from their bet winnings, excluding winnings of up to 2,112 reais ($422).
A percentage of the funds will be used to support several “critical organizations” that handle sports clubs, public welfare, basic education, and social projects.
Around 10% of the tax will be used in funding social security/welfare projects, and the National Fund for Public Security will be entitled to 2.55%. This will help strengthen efforts to curb money laundering, match-fixing and other illegal betting activities.
Brazilian education will receive 0.82% of the funds, while sports clubs will get 1.63%. The Ministry of Sports will receive 1% of the taxes.
One of the key directives of the measure includes setting up a new industry secretariat headed by the Ministry of Finance. The secretariat will oversee the approval of betting firms’ accreditations and monitor the market’s betting volumes and revenues.
Betting firms must also carry out awareness and prevention campaigns to contribute to a thriving betting environment and reduce the risk of individuals developing gambling disorders.
The measure will be sent to the Chief of Staff after endorsement to aid the ministries in implementing the regulations and create systems that discourage and address cases of match-fixing.
You may also like
Join the Betting Planet team!
Are you passionate about sports betting? Sports news writers required TODAY!
Experienced preferred but not essential. (All apps considered).
View Careers at Race MediaTop Online Casinos
Latest Betting News
- Broncos @ Saints betting picks & predictions | NFL Thursday
- Alcaraz, Sinner favoured to make Six Kings Slam semi-finals
- West Indies knock England out of Women’s T20 World Cup
- NZ thrash Pakistan to make Women’s T20 World Cup semi-finals
- Kyrgios eyeing Grand Slam success as comeback looms
- McGregor set to fight Hooker on UFC return in February 2025
- Sinner bolsters No.1 ranking with Shanghai Masters title
- Buffalo Bills @ NY Jets tips, odds & predictions | Week 6 preview
- India break record for highest-ever T20I total against Bangladesh
- Cricket: England complete historic victory over Pakistan
Casino Guides
- Safest online casino jurisdictions
- How to guides
- How to win at pokies
- How to play online pokies
- PaysafeCard online casino deposits
- MasterCard Online Casinos
- Online Casinos Accepting POLi
- 32Red Casino Review
- All Slots Casino Review
- Boombet Casino review
- Horse racing games at casinos
- Credit card deposits at online casinos
- Films about blackjack
- Live dealer casinos
- How to play live dealer blackjack party
- Online Blackjack
- Top online casinos 2024
- Online casino deposits
- MasterCard Online Casinos
- Online Casinos Accepting POLi
- PaysafeCard online casino deposits
- Online slots
- Playing Pai Gow Poker on the Internet
- Online keno
- Online poker
- Online poker tournament structures
- Real money online roulette 2024
- Online multi-wheel roulette – what is it?
- How to play online scratch cards in 2024
- Sit & Go online poker tournaments
- Skrill e-wallet deposits at online casinos
- Visa online casino deposits
Sports Betting Guides
Casino Games
Deposits & Withdrawals
Football
Basketball
Top Country Betting sites
- Angola
- Antigua and Barbuda
- Armenia
- Australia
- Azerbaijan
- Bahamas
- Barbados
- Belize
- Brazil
- Canada
- Dominican Republic
- Germany
- Ghana
- Grenada
- India
- Indonesia
- Italy
- Kenya
- Malaysia
- Malta
- Ireland
- Netherlands
- New Zealand
- Nigeria
- Norway
- Philippines
- Singapore
- South Africa
- Turkey
- Uganda
- Ukraine
- United Kingdom
- Vietnam
- Zambia
- Zimbabwe