Legalised sports betting in Brazil a step closer

Brazil’s National Congress now has a two year window to develop a framework and regulations conducive to the introduction of legalised sports betting following the signature into law this week of Provisional Measure 846/18 by national president Michel Temer.

The measure has been developed and driven by Pará Senator Flexa Ribeiro and has enjoyed strong support through the full Brazilian legislative structure (see previous reports).

The bill lays the groundwork for the distribution of revenue from sports betting via the national lottery Loterias Caixa, and lays down a two year window for lawmakers to develop the necessary framework and regulations. Thjis window can be extended by a further two years is necessary.

Provisional Measure 846/18 proposed that the Ministry of Finance will lead the development project and secure agreement from interested parties on the how the fledging vertical would be structured, including whether a monopoly should be considered, or what operators may be welcomed.

There is provision for both online and land sports betting, with land-based operators required to pay out 80 percent of handle in winnings, and split 6 percent between societal organisations that include football clubs, security bodies, schools, and social security.

Online companies will be required to pay 89 percent of amounts wagered back to players as winnings, with 0.25 percent going to social security and small percentages going to schools, security and football clubs.

Related and similar