2024, A Milestone Year for Online Gambling in Brazil with Approved 'Betting Project'

In a year-end development that reverberates across the gambling landscape in Brazil, the much-anticipated 'betting project'has secured approval, paving the way for a regulated online gambling market poised for launch in 2024.

The bill, which received its initial nod in September, has overcome hurdles and is now awaiting the official sanction from the President.

Political Maneuvers - A Second Vote and Triumph in the Chamber of Deputies

After facing scrutiny in the Senate, the bill underwent a second round of voting in the Chamber of Deputies. Initially, the Senate proposed the exclusion of iGaming from the bill, triggering a bout of criticism. However, the Chamber stood firm and, in a decisive ruling, overturned the opposition.

The approved bill is a testament to months of settlement and negotiations. It encapsulates a wide regulatory framework, incorporating provisions for taxing both companies and bettors. Licensed operators, integral to the envisioned regulated market, will be subject to rules and regulations.

Taxation and Revenue Allocation

Under the approved legislation, companies operating in the regulated market will retain 88% of their gross revenues. The remaining 12% will be earmarked for various sectors, including education, public safety, sports, and other pertinent societal issues. This allocation mechanism underscores the government's plans to leverage the gambling industry for broader social and civic benefits.

As the President prepares to put the official stamp on this groundbreaking legislation, the stage is set for a transformative year in 2024. The regulated online gambling market, born out of collaborative efforts and political resolve, promises a new era for both industry stakeholders and eager bettors alike.

Expressing dissent, Deputy Eli Borges, a critic of the legislation, asserts that the regulation of gambling poses detrimental effects: “We are taking another step forward to involve young people and Brazilian citizens in an unprecedented game."

Taking a different stance, Chamber President Arthur Lira emphasizes the advantages of regulation, contending that the presence of unregulated platforms necessitates effective management: "If we just don't vote on regulation, will gaming cease to exist? Do people stop playing, bets stop working and sponsor teams, events, and tournaments? No!"

Deputy Adolfo Viana, added: "We want a law that, definitively, establishes that these betting sites will be inspected and taxed by the country. If we don't approve the project, the games will continue to take place without supervision."

Source:

''Brazil’s Chamber of Deputies approves bill to regulate online betting'', gamblinginsider.com, December 22, 2023.