The Brazilian Senate’s Committee on Economic Affairs approved legislation that creates regulations and taxes for sports betting and online gaming, Yogonet reported November 24.
It approved a tax rate of 12 percent on gaming operators and 15 percent on bettors’ winnings. This is lower than what the Ministry of Finance had proposed.
The committee also agreed that there should be an urgent vote on the proposal in the Senate, as the Chamber of Deputies previously voted.
The bill’s rapporteur, Senator Angelo Coronel, said he hoped the vote would be sooner rather than later.
The Ministry of Finance sees the legislation as a way to raise enough revenues to achieve a zero deficit by next year.
Also approved was to charge BRL 30 million (€5.5 million) for five-year licenses. Operators must maintain a business in Brazil and its Brazilian partner must control at least 20 percent of the capital.
Taxes raised will go to education, public security, the Ministry of Sports, tourism, the Ministry of Health and the Federal Police.
No one under 18 will be allowed to participate. Also restricted will be employees of betting operators, public officials and those with a gambling addiction. Facial recognition technology will be mandated to ID players.
Brazil’s soccer clubs continue to oppose an amendment approved by the Committee that would prohibit sports betting sponsorships for teams, individuals and championships. The amendment would also limit broadcast and social media advertising.
