Bet prize is taxed less than Mega-Sena, and Congress opened the gate for zero revenue – 09/30/2024 – Panel SA

Any winnings obtained by Brazilians from sports betting, bets, pay half the rate charged on other prizes such as the Mega-Sena, the most popular lottery in Brazil.

Whoever wins the lottery collects 30% Income Tax on the gross amount, deducted at source (the announced prize is the amount net of taxes). Bet bettors pay a tax rate of 15%, according to the law approved in 2023.

Taxation on the prize is considered by government experts to be a disincentive mechanism for gambling. However, in addition to the lower rate creating a competitive advantage for this type of betting, a decision by the National Congress further reduced the potential of the instrument.

Parliamentarians approved an article that provides for the collection of tax on the net prize obtained from bets each year. To do this, it is necessary to deduct from any possible gain all losses incurred with bets of the same nature. In other words, the bettor receives treatment similar to that given to real profit companies.

President Luiz Inácio Lula da Silva (PT) had initially vetoed this device, but Congress overturned the veto in May this year. This practically nullifies any taxation, as many users end up accumulating more losses. Only those who profit from betting will be taxed, which, in the government’s view, will be almost no one.

Brazilians’ spending on betting is in the Executive’s sights amid warnings from experts about the negative effects on the financial and psychological health of families.

The government is preparing to block payment methods such as credit cards and Bolsa Família cards on betting sites. This Monday (30), Minister Fernando Haddad (Finance) said that around 500 bets that did not request authorization to operate in the country will have their websites taken down next week by Anatel (National Telecommunications Agency).

Idiana Tomazelli (interim) with Diego Felix

LINK PRESENT: Did you like this text? Subscribers can access seven free accesses from any link per day. Just click the blue F below.