Brazil: São Paulo confers legal security to the gambling sector seeking to attract new companies

This is a measure of great importance that grants to the providers of the legal security segment in the definition of which parcels of their invoice compõem based on the calculation of the Imposto sobre Serviços de Qualquer Natureza (ISS).

Assim, the municipality creates a greater guarantee of stability and predictability of the legal-tax relations between companies in the sector and the São Paulo treasury, avoiding litigation, authorizations and administrative and judicial processes for the discussion of due values. Com isso, the city of São Paulo takes another important step in its consolidation process as the main pole of attraction for high-tech companies in Brazil and in Latin America, generating business, income and economic dynamism in the city and in the years of São Paulo, in addition of expected tax revenue gains, as well as the establishment of non-municipal sector companies.

Benefits - In addition to this new measure, the Prefeitura de São Paulo had previously opted to adjust the ISSQN rate due to the segment, which was set at 2% by municipal legislation in 2022. Com isso, a rate incident on the services of “bets” have now been set at the lower limit permitted by the national tax legislation, contributing to the reduction of tax costs and making the city even more attractive for the settlement of sector companies.

Ato - The new Opinion Normative traces in its text a fixação de interpretação no sense de que consideram-se repasses não tributáveis pelo Imposto sobre Serviços de Qualquer Natureza (ISSQN) a dedução das importâncias que we treat in subsections III and V of the "caput" do art. 30 of Law nº 13,756, of December 12, 2018, with redaction given by Law nº 14,790, of December 29, 2023 (payment of prizes and income tax incident to the awards). It is also not composed based on the ISSQN or percentual calculation of 12% of the product of the winning of the fixed quota betting lottery, whether it is physical or virtual, which has a specific destination, in accordance with subsections of § 1º-A of Art. 30 of the Law No. 13,756, dated December 12, 2018.