Apostas esportivas: estados estabelecem normas proprias para o setor
Ministro da Fazenda, Fernando Haddad e o presidente do Senado, Rodrigo Pacheco. Foto: Lula Marques / Agência Brasil

Based on an understanding by the Federal Supreme Court (STF), from 2020, which removed the Federal Government’s monopoly on operating lotteries, some states are creating their own rules aiming to offer online sports betting, also called bets.

According to an article in O Globo, this issue can be brought to justice.

In Rio de Janeiro, Loterj accredited eight sports betting companies, which will be able to offer bets throughout Brazil. The grant is R$5 million, for a five-year license, and taxation is 5%.

According to federal regulations, the grant will be 30 million for licenses valid for three years and taxation tends to be between 15% and 18% of the GGR.

In other words, from the revenue obtained from all bets placed, subtracting the prizes paid to bettors.

For lawyers Caio de Souza Loureiro and Jun Makuta, the states’ action could create a mess and should end up in court.

“Only bets that comply with federal rules will be able to offer online games throughout the national territory”, claimed the lawyers in an interview with Globo.

An amendment related to territoriality was presented by senator Rogério Carvalho (PT/Sergipe), considering that one who is not in its territory cannot bet on a state.

“Although states can operate lotteries within their own territorial limits, the competence to legislate remains with the Union and, therefore, the licensing rules issued by the Ministry of Finance must be respected”, says Eduardo Diamante Teixeira, partner at Carlezzo Advogados e specialist in sports law.

Treasury wants territoriality to be part of the sports betting regulation project

Therefore, the Ministry of Finance is taking action and consulted the Federal Attorney General’s Office on the issue.

The ministry wants territoriality to be respected, which means that only bettors resident in each state could play in state bets.

Furthermore, the Ministry of Finance wants only federal licenses to authorize the operation of betting houses in Brazil. The intention is to ask senators to put this addendum into law.

The regulation of sports betting was approved by the Chamber of Deputies in September. Now, the bill is being processed in Senate committees.

Last Friday, the Ministry of Finance issued a decree with rules and duties for betting houses to operate in Brazilian territory.

Loterj’s response

In an official statement, Loterj argued that the notice issued refers to the accreditation of betting houses that operate in online sales, based on best compliance practices.

“The document was prepared in compliance with federal legislation and no new rules were created”, says the text.

“5% taxation is within the state’s autonomy and also follows federal regulations. It is currently being considered and debated by the Senate”, comments the company in the statement.

“The objectives of the notice are to enable the expansion of the gaming market legalized by the Union and, consequently, increase our revenue. Since 70% of Loterj’s profits are donated to social actions throughout the State of Rio de Janeiro”, concludes the text.