Brazilian Senate Postpones Vote on Online Gambling Legalization Amid Concerns
Date: 2023-11-30 Author: Dima Zakharov Categories: EVENTS
Tax Bill Changes and Concerns:
The Committee on Economic Affairs approved the sports betting tax bill last week, proposing a 12% tax for operators and a 15% tax on gamblers' winnings. Despite this progress, the bill's advancement stalled this week due to concerns about insufficient regulation of online casino gambling.
Revenue Prospects and Delay Impact:
The delay is critical as the legalization of betting is part of the Ministry of Finance's budget for the next year. The proposal aims to generate BRL12 billion ($2.44 billion) annually, contributing to a financial deficit of zero without increasing public debt. Licensing fees could bring in up to BRL30 million ($6.1 million), allowing three brands to operate for five years.
Regulation and Restrictions:
The proposal restricts betting and iGaming for those under 18, individuals with gambling problems, public officials, and betting company employees. The Ministry of Finance would regulate and enforce penalties, including fines for non-compliance. Brazil aims to develop rules against threats in online gambling, such as money laundering.
Future Changes and Approval Impact:
Despite recent progress, the proposal may undergo further changes, potentially delaying the legalization of sports betting in Brazil. The ongoing process may impact approval and influence the country's stance on online gambling.
