The regulation of online betting in Brazil already has a direct financial impact on public coffers. In the first quarter of 2026 alone, federal management recorded significant revenue from licensed companies of R$3.4 billion.
This amount is impressive because it represents a growth of 123.7% compared to the same period last year, when the value was R$1.5 billion. Official data, announced by the Federal Revenue Service, indicates that the amount collected from betting taxes in Brazil has more than doubled since then.
The regulated betting market officially came into operation on January 1, 2025. It was at that moment that the government officially implemented the 12% tax on Gross Gaming Revenue (GGR), an indicator that corresponds to betting revenue after deducting the prizes paid to bettors.
Increase in tax burden on betting in Brazil
However, the taxation scenario for licensed betting houses in Brazil will not stop at the current percentage and will become even more burdensome. In December 2025, the National Congress approved Complementary Law Project (PLP) 128 of 2025, which included new sections with the aim of increasing the tax burden imposed on the sector.
In this way, the tax schedule for betting in Brazil approved by parliamentarians foresees a constant and progressive increase for the sector. The rate charged will increase from the current 12% to the 13% range in 2026.
Thus, the escalation will continue in the following year, rising to 14% in 2027 and, finally, reaching the expected level of 15% in 2028. The text also stipulates sanctions for those who advertise unregulated platforms and/or allow transactions with irregular companies.
In other words, with less than two years of betting regulation in Brazil in force, taxation has already been expanded and some ordinances are also restricting access for part of the population to authorized platforms.
Recently, the government published a regulation with guidelines so that participants in Novo Desenrola Brasil – a debt renegotiation program – are prohibited from betting for one year. To understand the current scenario, we have created an updated guide!
Should betting companies pay to obtain a license in Brazil?
Since the regulation of betting in Brazil, companies interested in operating in the country must have a license granted by the Secretariat of Prizes and Bets (SPA), linked to the Ministry of Finance.
According to government information, operators must currently pay a grant of R$30 million, which will be allocated to a single National Treasury account. Each license allows the company to have up to three brands (bets).
If the company wants to request authorization for more brands, it will have to pay for a new grant valid for five years. In addition, there is also an Inspection Fee, which needs to be made available for SPA.
From then on, the company receives the green light to operate in Brazil on the ‘bet.br’ domain exclusive to the licensed market. Remembering that the list of companies authorized to offer bets nationwide can be found here.
Main taxes for the betting sector
With the regulation of betting in Brazil in 2025, a series of charges were also formalized for the sector. Check out the list below:
- Gross Gaming Revenue (GGR): GGR corresponds to betting revenue after deducting prizes paid to bettors. The rate defined by regulation applies to this base. The amount in 2025 was 12%, but will gradually increase until it reaches 15% in 2028.
- Corporate Income Tax (IRPJ) and Social Contribution on Net Profit (CSLL): Operators licensed in the country may have a tax burden close to 34% on profit, considering IRPJ and CSLL.
- PIS and COFINS: Bookmakers also pay PIS and COFINS, with a rate of 9.25% on gross revenue. However, the basis for calculating these taxes tends to be a matter of debate, especially regarding what needs to be taken into account for taxation.
- Service Tax (ISS): Some cities in the country have already signaled that they may charge ISS on sports betting and online games, which may raise questions about the validity of this tax.
Does the bettor also need to pay taxes on bets in Brazil?
According to betting regulations in Brazil, bettors may have to pay taxes on prizes received in online betting and fantasy sports games. This happens when this amount exceeds the annual Income Tax exemption limit.
If the total amount of the premium in the previous calendar year exceeds this limit, the citizen will have tax to pay. If the amount is within the exemption limit, there is no need.
In this context, the operator needs to make available the Proof of Results in Betting on Fixed Odds Lotteries (ComprovaBet) by the last business day of February of the following year.
This document contains all the information about the bettor’s or player’s results across all brands of that respective operator, with the values calculated individually for each type of bet.
With this documentation, an individual of legal age can use the Federal Revenue Application to carry out calculations related to the previous year’s premium and check the amount of tax due. Currently, the rate is 15%, focused only on the fraction of the amount that exceeds the annual income tax exemption limit.
Anyone who has tax on betting in Brazil to pay must issue the Federal Revenue Collection Document (Darf) and pay by the last business day of April of the respective year. The IRS calculator can be used by bettors on sporting events, online games and fantasy sports.
It is worth noting that the Federal Revenue Service has made available a Roadmap for Payment of IRPF on Fixed Quota Lotteries and Fantasy Sport and an Application Manual.
Tax Reform and Selective Tax
Furthermore, the Tax Reform also included online betting on Selective Tax. The Complementary Law No. 214/2025, in its art. 244, establishes that physical or online prediction contests, involving everything from lotteries, horse racing, fixed-odd betting, fall under the IBS and CBS regime. This device also extends this understanding to fantasy sport.
In this way, IBS and CBS fall on the revenue arising from betting activity, with the deduction of prizes paid and transfers required by law. In other words, premiums are not subject to these rates. However, the rule prohibits bettors from obtaining these credits, at the same time that operators need to provide basic information about the place of bets, amounts and prizes paid, requiring identification of bettors in virtual dynamics.
Regarding the Selective Tax, LC nº 214/2025 also listed online betting among services and goods classified as ‘harmful to health or the environment’ and, therefore, subject to the Selective Tax. Article 410 defines that the Selective Tax will only be charged once on the good or service, without credit being used. Finally, the Selective Tax will officially come into force on January 1, 2027.
Desenrola 2.0 Program and the blocking of betting platforms
In the first half of 2025, the federal government announced Novo Desenrola Brasil with a restriction on the licensed betting sector: beneficiaries will not be able to access websites and applications for one year.
To join Desenrola 2.0, the consumer must authorize the blocking of their CPF on betting platforms. According to Febraban (Brazilian Federation of Banks), this authorization must be included in the contract signed with the financial institution.
Furthermore, the document must inform that the participant undertakes not to use betting platforms during the 12-month period. This way, banks can share beneficiary data after the contract is formalized.
Banco do Brasil is responsible for centralizing the data sent by financial institutions. According to the Ministry of Finance, the institution manages the FGO (Operations Guarantee Fund), a private fund used to cover defaults on contracts linked to the program.
Therefore, the information is forwarded to the Prizes and Betting Secretariat. The body is responsible for Sigap (Betting Management System), a platform that provides a list of people prevented from betting.
Betting operators must consult the system periodically. If the user’s CPF is listed as blocked, the company must block the creation of new accounts or suspend existing registrations.
Additionally, platforms need to communicate to users the reason for the suspension. If there is a balance available in the account, the company has up to two days to return the amounts to an account authorized by the Central Bank.
Desenrola Fies
Furthermore, the Ministry of Finance promoted an adjustment to the provisional measure (MP) of Desenrola 2.0 to make explicit the prohibition of the participation of sports betting platforms in federal debt renegotiation programs.
The change directly involves Desenrola Fies, a program aimed at students with debts from the Student Financing Fund (Fies). In other words, the initiative offers discounts and new payment conditions for defaulting students.
Ultimately, betting regulation in Brazil is still in the process of construction and consolidation, bringing new discussions, projects and challenges daily. However, the key point for the country to explore the sector’s full potential is to expand supervision and combat illegal gambling, which exposes the population without any type of security or transparency, in addition to not generating jobs or revenue for the State.
