Revenue confirmed defeat in Congress by issuing rules on bets before voting; read behind the scenes

In spite of the Ministry of Finance, parliamentarians decided to resume the section of the law according to which IR will be charged on the total result of each year of betting, and not on each bet individually. With this measure, government revenue from bets should decrease. When contacted, the IRS did not comment.

Interlocutors from the betting sector claim behind the scenes that, in practice, the IRS shot itself in the foot by regulating the betting taxation just two days before the veto session. The sector was irritated and increased pressure on deputies and senators to overturn the veto.

“The ordinance made it impossible for bettors to pay tax for each event, without a compensation period. With the veto overturned, the original text, agreed in the opinion with the Ministry of Finance, returns. If the veto were maintained, we could see bettors fleeing to clandestine sites, where no taxes are paid,” he told Estadão Column Senator Angelo Coronel (PSD-BA), rapporteur of the proposal in the Senate.

“Brazil is moving towards having a formal, competitive and sustainable betting market”, he told Column by the president of the Brazilian Institute of Responsible Gaming, André Gelfi.