The deputies of the Working Group analyzing the first project of regulation of the Tax Reform in the Chamber are considering including online gambling among the activities that will be subject to the Selective Tax (IS). For the GT deputies, bets could be classified as practices that are harmful to mental health.
The tax was created with the Constitutional Amendment of the new tax system and the proposal in progress establishes rules for charging, such as the types of products that will pay the extra tax.
The Selective Tax foresees a higher tax rate for some products, like alcohol. For the GT deputies, online gambling could be classified as activities that are harmful to mental health.
With the inclusion of virtual gambling games in the Selective Tax, the deputies believe it would be possible to reduce the standard VAT (Value Added Tax) rate, since part of the country's tax burden would be compensated by the collection of IS in another activity.
“It is harmful to psychological health and to the wallet. We are taxing sodas, extraction. Online gambling debts are creating a problem in the country. What is fairer to tax, soda or gambling? It's worse than a casino, which can still generate employment. In these mobile ones, the ease of getting into debt is very great,” said federal deputy Joaquim Passarinho (PL-PA), who brought up the topic for discussion.
The Selective Tax, by definition, may apply to products or services that are harmful to human health or the environment, such as: sodas, cigarettes, alcoholic beverages, and combustion-driven vehicles. The proposal has the support of other colleagues.
“If it's something that harms mental health, it should be included. The Selective Tax is not aimed at raising revenue, so the goal would be if there was some other product on the list, or to reduce the standard rate,” said deputy Hildo Rocha (MDB-MA).
Deputy Reginaldo Lopes (PT-MG), however, fears that another tax on online gambling could lead to a search for illegal games: “I think it depends, we have to see. This could encourage illegality,” he stated.
Source: O Globo
