The Brazilian Chamber of Deputies approved a sports betting bill that will come into force in the country in 2019. However, one amendment brought about the possibility of an online casino being regulated.
The passage of the provisional measure , signed by Lula in early this year, marks an important development in the establishment of a regulated sports betting framework in Latin America.
According to the bill, operators are required to pay a tax of 18% on GGR. All licensees must also pay a fee of 30 million reais within 30 days following authorization.
Taxes are divided into four categories: 2% is for social security, 1.82% is for education, 5% is for tourism, and 6.63% goes to sports.
Jose Guimaraes – the leader of the government in the Chamber – took to X – formerly Twitter – to express his delight at the new regulations.
He wrote: “We have approved the text of PL3626/23. It is a modern, effective measure to combat sports betting fraud and to end tax evasion.”
“Let us guarantee that more money will be in the Union’s coffers for investment in important projects to improve the lives and livelihoods of Brazilians.
It will also increase the state’s revenues and, consequently, more resources for financing the national reconstruction project.
A new amendment to the Brazilian legislation has added the phrase “online gaming”. This will allow online casinos to become regulated.
Online gaming is defined as “an electronic channel that allows virtual betting in a video game where the result of the game is determined by a future random event, based on the random generator of figures, symbols or objects defined in a system of rules”. This legislation paves the way for the regulation of online casinos in Brazil.
The regulation of online casinos would be a significant moment in the process of politics, and the anticipation of the launch of the Brazil market will increase. Industry giants like Entain, Flutter, are already looking at the country as a growth region.
This provision would allow Brazilians to bet on esports and play online casino games, even though a legalization process has not been completed. It is important to note that the text emphasizes the “possibility of experimenting with online virtual games”.
Adolfo VIANTA, Rapporteur for the bill, who proposed the changes, explained that the provision on online casino “is not about launching games online, but about regulating a national activity.
The bill on sports betting has now been passed by the Chamber of Deputies (the lower house of Brazil’s legislative body). It will be sent to the Senate and give Brazil even more momentum in its push for a regulated system.
