Brazil’s Federal Senate is preparing for a crucial session this Wednesday, December 6th. On this day, they will vote on the Bill (PL) regulating sports betting and online gambling in the country.
This project, is known as the sports betting PL. And it is a key piece in the legislative agenda and has significant revenue potential for the government.
Details of the bill on betting regulation
The project’s rapporteur, senator Ângelo Coronel (PSD-BA), has already presented a favorable report, but they postponed the vote last week.
The betting regulation bill proposes to tax the revenue of betting companies at 12%, a reduction from the initial rate of 18%.
Furthermore, the project requires that foreign betting companies have at least 20% of their capital in Brazilian hands.
Grant and taxes for bettors
The project also establishes an initial grant of R$30 million for the legal authorization of betting sites, valid for five years.
For bettors, it will be necessary to pay Income Tax on winnings, with a rate of 15% for prizes above R$2,112.
Revenue expectations and other agendas in the Senate
The government expects the measure to generate around R$2 billion in 2024. All of this, with the possibility of reaching up to R$10 billion per year, according to the rapporteur.
In addition to the sports betting bill, the Senate will also discuss reports on the appointments of Flávio Dino to the STF and Paulo Gonet to the PGR, at the CCJ.
Another important issue is the proposal to legalize gambling in Brazil, which could generate significant revenue for the government in the coming years. The project recently received a rapporteur at the CCJ.
The next session of the Senate Plenary promises to be an important milestone in Brazilian legislation on sports betting and online gambling with significant implications for the sector and the country’s economy.
