Brazil’s President Luiz Inácio Lula da Silva has vetoed parts of the gambling bill that was passed by both chambers of the Congress, Yogonet reported January 9.
Congress has until March 3 to let the vetoes stand or attend to override them.
The section of law 14.790/23 Lula finds objectionable is the tax exemption for gamblers who win prizes of up to BRL 2,112 ($430).
The president sent this message to the President of the Senate: “The maintenance of §§1 and 3 of Art. 31 of the Sports Betting Bill would result in an Income Tax taxation different from that found in other lottery modalities, thus creating a distinction in tax conduct without a reason to motivate it.
“In addition, the maintenance of §2 of Art. 31 of the bill would also go against fiscal equality, in the terms of Art. 150, II, of the Federal Constitution, since it would introduce a logic of Income Tax exemption at odds with the ordinary rules existing in the area of the collection of lottery prizes in general, established by Art. 56 of Law no. 11.941, of 2008.”
An override would require an absolute majority of deputies and senators.
