Brazil's online gambling operations will be legalized in 2023
Brazil passed a bill in 2023 to officially legalize online gambling. The bill provides a legal framework and regulatory mechanism for the online gambling industry, aiming to promote economic growth, create jobs, and attract tourism and foreign investment.
Tax is 12% of gross income
Under the new regulations, online gambling operators are required to pay a 12% gross receipts tax (GGR). This tax rate is intended to provide the government with a stable source of tax revenue while supporting sports development and other social projects.
The player tax is 30% (similar to Macau’s incidental income tax)
Brazilian online gamblers will be subject to a 30% tax on their net winnings. This is similar to Macau’s incidental income tax, which aims to regulate players’ gains and ensure that the government receives revenue from them.
It costs $6.2 million to obtain a license
Online gambling operators need to pay an initial license fee of US$6.2 million (approximately R$30 million). This ensures that the operator has sufficient financial strength and the ability to operate legally. It should be noted that this money will not be refunded even if it expires.
Can legally operate 3 brands for a period of five years
After obtaining the license, operators can legally operate up to three brands, and the license is valid for five years. This provides operators with a stable operating environment and allows them to operate multiple brands in the Brazilian market.
Can operate all online gambling games
Brazil’s legal framework allows online gaming operators to offer all types of online gaming, including sports betting and online casino games.
