More about the Presidential Decree that regulates the sports betting market in Brazil

The Brazilian specialized press has published a draft of which we highlight the following measures:
The number of operators in the national territory is not limited and it establishes an authorization fee of €4.27 million valid for five years. To qualify, the company must be established in Brazil and those already operating will have six months to adapt to the new provisions. The Ministry of Economy will be in charge of regulating and authorizing.

The exploitation of sports bets will depend on the authorization of the Federal Executive, with no limit on the number of authorizations.

The regulatory entity will have 30 days to review the documentation and notify the interested party so that they can present the final documents. Within 60 days, the regulator must complete the analysis on the granting of the request.

For foreign companies to operate in Brazil, they must have a branch in the country and sufficient capital and economic and financial capacity to support the activity to be carried out.

The decree defines issues such as the term for the payment of the prizes, the conditions for the payment of the social security contribution and the amounts related to social transfers, as well as the payment of income tax on the prize.

Users must identify themselves in their own name or that of a third party, including the provision of the registration number in the Registry of Natural Person Taxpayers. Foreigners will identify themselves with a passport or official identification document, the country of residence of the foreign player and their Tax Identification Number (NIF).

With regard to responsible gaming, the promotion of informative and preventive awareness and prevention actions is established. Also, the development of codes of conduct and the dissemination of good practices. International certifications on responsible gaming will be required from the operator.

The decree includes the fight against the manipulation of results, money laundering and corruption in sporting events. To do this, the operator must prove that it is part of or has a contractual relationship with international sports integrity monitoring bodies.

Draft decree published by Games Magazine Brazil