Gambling In Brazil

Online betting in Brazil is a complex topic as it’s governed by very old laws, however this is all about to change, but maybe not until early 2017. As soon as any change is made this page will be updated to reflect it.

On this page the current legislation will be covered as well as a list of legal Brazil betting sites where you can hold an account:

Brazil Betting Sites & Bookmakers

Often referred to as the ‘Sleeping Giant”, Brazil is really behind on any kind of gambling regulations. It was only in December 2018 that a law regulating online and offline sports betting was passed and now there is a strong sense of expectancy for the same to happen for online casinos and other types of gambling. The current legislation partially forbids gambling activities in Brazil. The practice of gambling is currently mainly dealt with by the Law of Misdemeanours (Decree Law No. It was drafted with the intention to preserve social morality, in line with the accepted societal values of 1941. It forbids the practice of gambling, referred. Gambling History in Brazil. Many forms of gambling in Brazil used to be legal. That was until 1941 when the government introduced the Criminal Contravention Act. Then in 1946, even more, new legislation was passed, and this prohibited even more forms of gambling, including land-based casinos. However, this didn't stop venues from operating.

The following is a list of the best betting sites for residents of Brazil:

Brazil Casino Game

Key Facts: Online Gambling In Brazil

• Laws passed in 1940s make most gambling illegal.
• Old laws are not enforced and many people gamble without prosecution in Brazil.
• Overseas operators are widely used and accept Brazilian customers.
• Government are currently working to license all gambling.
• New laws likely to pass late 2016 or early 2017 to fully legalise and regulate gambling.

Brazil Gambling Law & Legislation: Is it legal or illegal?

The story of gambling legislation in Brazil is a fascinating one which features plenty of twists and turns. The following timeline should give you a decent summary of what is an ever-changing tale:

1941 – Criminal Contravention Act

Before 1941 gambling was legal in Brazil, but this was changed by the passage of the 1941 Criminal Contravention Act which to this day still hasn’t been abolished or wholly superseded. The act rules that establishing or operating games of chance is an offence which can be punished by imprisonment. It also defines games of chance as:

a game in which winning or losing depends exclusively or principally on luck

bets on horses outside the racetrack or other places where such races are authorised

bets on any sport competition

1946 – Decree Law No. 9215

Gambling activities can be made legal in Brazil if the Criminal Contravention Act is superseded by independent legislation directly regulating the activity in question. For five years between 1941 and 1946, this was the case for casino gambling which was subject to licences, authorisation and concessions granted by federal, state and municipal governments. These were removed or annulled, however, in 1946 by Decree Law no. 9215 which made all casino gambling illegal.

1990-2007 – Flip-Flopping on Bingo

As a game of chance, bingo was amongst the activities outlawed by the Criminal Contravention Act. Its illegality was overturned, however, in 1990 by the passage of the ‘Pele Law’ which dictated that bingo could be legal if it was used to fund sports teams or activities. Unfortunately this led to bingo becoming a target for money launderers and organised crime, and Brazil’s Supreme Court outlawed it once again in 2007.

2008-2010 Trying to Apply 1940s Legislation to the New Millennium

Whilst Brazilian authorities agreed that the Criminal Contravention Act did make establishing and running online betting and gambling sites in Brazil illegal, the 75 year old act obviously doesn’t take overseas providers into account. For that reason, foreign based companies have long offered their services to Brazilian residents and the Brazilian government has been able to do little about it. There have been some attempts to pass legislation which would allow them to take greater action, most notably between 2008 and 2010, but none of this has ever been enacted.

2016 – Legalisation Bills

In Autumn 2016 – there were separate gambling legalisation bills being discussed in both Brazil’s lower house and their senate, as well as a seemingly notable political desire to get the legalisation process completed. If and when legislation is agreed, it would require only presidential sign off to be passed into law and it is widely expected that Brazil’s president may even create a national gambling regulatory body in advance of this to speed up the process further.

2018

Provisional Measure 846/2018 passed in Brazil’s senate which introduces licensing for online and land based sports betting services as well as dealing with the distribution of lottery proceeds.

Tax on Winnings

As the Brazilian gambling industry is – as of this moment – mostly unregulated and some forms of gambling are in fact illegal, there is obviously a big question surrounding taxation.

One of the major reasons that politicians are looking to legalise the industry, and have made moves to do so, is because of the fund raising possibility of gambling taxation. In the not too distant future, therefore, it would be no surprise to see new gambling tax laws introduced in Brazil. Whether these would tax punters or simply the companies providing them with gambling services, remains to be seen.

Lottery winners are currently taxed at 30%.

Deposit Methods

Cheapest Gambling On The Strip

Due to the illegality of establishing and operating online gambling sites in Brazil, all current Brazilian punters are using overseas based providers. As we’ve discussed, the Brazilian government has no real ability to police or to regulate this, so the legal situation has no real bearing on the choice of deposit method.

As such, in the majority of cases, depositing via either debit card or credit card would likely be the easiest and best alternative. These methods offer quick and easy deposits, good levels of security and are catered for by almost all sites around.

Online Gambling In Brazil

If you want to remain anonymous though then using an e-wallet, such as Neteller, is a good idea. All that will show on your bank statement is transfer to and from Neteller and not the gambling sites.

Casino In Brazil

Deputy Alencar da Silveira Jr. (PDT-MG) is a journalist and broadcaster. He began his political career in 1988, being elected the youngest councilor in the Belo Horizonte Chamber in that legislature. In 2015, he was elected to receive the Guará Trophy in Minas Gerais, as Sports Director of the Year, having received several awards.
Luiz Carlos Prestes Filho: What are the economic activities that contribute to the social and economic development of Minas Gerais? What actions has ALMG (Legislative Assembly of Minas Gerais) developed to give greater dynamism to these structuring activities?
Alencar da Silveira Jr: Minas Gerais has very diverse economic activities that vary from region to region. The service sector is the biggest contributor to the economy. Mining and other industrial activities are also very important for the state's economy, as well as agriculture and livestock. To help with the economic recovery, we launched the ‘Recomeça Minas’ plan in the state’s Assembly. The proposal will help sectors of the economy that were affected by the Coronavirus pandemic with the settlement of tax debts and tax incentives. In this first semester, we will study and promote debates with businessmen, workers' representatives, and the Government. Based on that, we will draft a bill to help the economy resume. We expect to regularize approximately R$ 14 billion in tax debts and reduce taxes in various sectors as a form of incentive.
What are ALMG's programs and projects aimed at Tourism, Leisure and Culture activities?
At the end of last year, ALMG approved the final report of the Extraordinary Tourism and Gastronomy Commission, which highlighted the impacts of the pandemic on the sector and presented data that show the growth potential of tourism in the State. The commission started this work in March 2019 and ended with the approval of the report, which is available on the Assembly website. Last year the Assembly created Minas Arte em Casa, to move the cultural sector during the pandemic. The project broadcast several online presentations on ALMG's social networks. Now, we need to work to create exemptions and allow the renegotiation of tax debts to help the recovery of the sector, which was greatly affected by the pandemic.
Could the reopening of casinos and bingos help to strengthen state tourism? How many new jobs would be generated? Would the tax collection increase by 5% or 10%?
Several state’s towns became famous because of the casinos, especially in the South of Minas, the “Brazilian Las Vegas”. With the reopening, tourism in these municipalities would again have a large growth with generation of jobs and income. And today, with the ease of locomotion, other regions of the state could be benefited as well. In Minas there are several municipalities with truly relevant natural and cultural attractions. This is essential to attract tourists to the casinos. The time that casinos brought people just to gamble is over. Now, the person travels and takes the family along, there must be entertainment for the children, for the whole family. It is not possible to maintain casinos without offering these attractions together. In Brazil, the legalization of the gambling sector could generate around 600 thousand direct and indirect jobs and R$ 15 billion annually with taxes. It was the amount that could be collected with grants.
Would it be important to also regulate in the state the jogo do bicho? How big is this activity in Minas Gerais?
Illegal gambling benefits few people. The jogo do bicho is on every corner, with informal workers and without paying taxes. With legalization, the government could use the money for health and education. In addition, thousands of workers could move out of informality. Gambling in Brazil is a reality, but few are benefited by it.
Would it be opportune for the State Secretaries of Finance to send a document to the National Council for Farm Policy (CONFAZ) in favor of the regulation of gambling?What points could be highlighted in this document?
The Government of Minas Gerais is going through a very difficult economic moment. It is unable to pay the civil service salary on time, it has already delayed transfers of ICMS to the municipalities. The legalization of gambling is one of the ways to help in such a delicate moment, which was aggravated by the coronavirus pandemic. Given this scenario, it would be very valid for the Secretary of State for Finance to point out the benefits of legalizing the activity for the collection of the State and the generation of employment and income for several regions. It can point out the tourist potential of the municipalities that have housed casinos in the past and others that also have attractions to receive the casinos. In addition to showing that illegal gambling already exists but does not pay tax and has no rules. Another thing that the Government needs to do is to let several companies explore gambling in the State, through the Loteria Mineira. It will carry out the concession again in 2021. At the moment, only one company can explore the activity here, we need to allow other firms to explore as well.
Would the resumption of the activity of casinos give a greater appreciation to the historical identity of the Mina Gerais towns that lived through the Golden Age of the Casinos?
Casinos will attract more tourists and reinforce the identity that these cities have created with gambling in the past. Older residents certainly remember that time, as casinos move these cities a lot.
In your opinion, what should be the destination of the tax collection of regulated gambling?
Part of the collection must be reserved for the treatment of compulsive gamblers. Most of them, on the other hand, should be used for health, education, and security. The activity needs to contribute to the social and help the population. In relation to the carnival, today it earns much more than any jogo do bicho bank in Rio. The time that gambling helped has passed. Today, carnival is an industry. How much does it cost for you to parade on the avenue? How much does carnival make today? It is an industry that has evolved and that currently earns a lot.
Does the Minas Gerais legislature follow the debates on gambling regulation in the National Congress?
I have advocated the legalization of gamblings since I entered public life. I always follow the debates and proposals presented at the National Congress. On several occasions, the Minas Assembly has already held debates and brought deputies from other assemblies and also parliamentarians from the National Congress. We are attentive and prepared if the legalization is approved. I think that the deputies and senators should use this difficult economic moment, with high unemployment, to approve the return of the gambling sector. Of course, with proper regulation and inspection.
Democracy is a universal political system; it is above ideologies and religions. Do you believe that regulated gambling strengthens democracy?
It strengthens, because you stop restricting an activity due to religious interference, as it happened in Brazil when gambling was banned. In addition, you regulate and define rules for an activity that already happens illegally, without paying taxes or bringing any type of benefit to the population.
Source: Luiz Carlos Prestes Filho – Executive Director of Tribuna da Imprensa Livre newspaper