Brazil would collect USD 1,160 M a year in sportsbooks

Fabio Graner, an analyst at Jota Economics in Brasilia, analyzed the situation and assured that the regulation could allow the government to collect close to R$ 6 billion (USD 1.16 billion) a year.

A few days ago, the Folha de Sao Paulo newspaper reported that the Ministry of Finance sent on Thursday, February 16, the text of the Provisional Measure that must be evaluated by the Civil House, and signed by President Lula da Silva once it is finalized. the carnival.

The Ministry's idea is for it to come out this month, although sources from the executive power slipped that the debate is advancing, but a definitive conclusion has not yet been reached.

According to JOTA, the idea is that those bookmakers that do not register and do not formally establish themselves in Brazil will no longer be able to advertise, which represents a huge market for the sector.

Currently, according to government analysis, of the 40 teams in the A and B series of the Brazilian championship, 38 have some kind of sponsorship on their jerseys coming from sports betting sites, not to mention the volume of advertising on television, radio, internet and even at sporting events themselves.

With the Provisional Measure, the companies will have six months to formalize their situation in the country and, in order to operate, a concession payment between R$ 25 and R$ 30 million will be required, the last number being the most probable.

With the regularization, they must pay 10 percent of Income Tax on the prizes, in addition to the normal tax rates on the profits of the companies, according to the regime in which they are installed, whether of real benefit or alleged. The previous law already provided for, and this should continue, a supervision fee to be charged in connection with billing.

The concession payment will be unique and will serve to promote the installation of a supervision area for the sector.