The Provisional Measure must be dealt with before next June 28, final date where it will fall if not approved by the Senate. Senator from Piauí Ciro Nogueira (PP), author of Bills 186/2014, which simultaneously regulates jogo do bicho, bingos, electronic games, video lotteries, videobingos, resort casinos, online sports betting games and online bingo games, is the rapporteur of the matter.
The PM has already received 13 amendments by the senators, but only one of them refers to the changes in art. 6 of the Conversion Bill (PLV) No. 12/2021, which amends the legal framework for the “Fixed Quota Bets” modality (sports betting).
Through amendment 83, Rose de Freitas (MDB/ES) asks to increase the rates of sports betting destined to Social Security. For her, this attractiveness, however, cannot be sculpted at the expense of this need. De Freitas requested that the rates be refunded to half of the percentages provided for in Law No. 13,756: 0.25% on bets on physical media and 0.1255 on virtual platforms.
On the past 3rd, the plenary of the Chamber of Deputies approved PM 1034/21. In the discussions, the chapter of law 13756/18 (fixed quota or sports betting) was changed, which now considers the payment of taxes on net revenue from collection, discounting income tax and prizes (GGR). This change in the tax system was an insistent request from the market to the Brazilian government.
The provisional measure received changes accepted by the rapporteur, deputy Moses Rodrigues (MDB/CE), proposed by deputy Hugo Motta (Republicans/PB) which modified the distribution of the amounts collected by sports betting. With the approval of the PM, the collection after deducting income tax and prizes will be considered for tax collection purposes.
In the opinion of the deputy, "in the previous wording, it is provided that the system of taxation and allocation of revenues is on the product of the collection of fixed-quote bets, a system used for sports lotteries, which have taxation and allocation of revenues and prizes fixed in percentages of the collection.”
For him, in the fixed-quota betting modality, "the concept must be different: it is a betting system related to sports-themed events, in which it is defined, at the time of placing the bet, how much the bettor can win in case of correct prognosis. This amount is related to the amount bet and not to the proceeds.”
The deputy concludes, in his justification, that “the form of taxation needs to be adequate to be established due to the difference between collection and paid prizes. The amendments to the aforementioned legislation will allow progress towards the establishment of the lottery modality of fixed-odd betting and to have the appropriate collection for the Union.”
"Experience in Europe shows that it is better to adopt the operator's gross profit as a basis, providing stable flows of public revenue and prizes and making bettors use the services of local operators," said the rapporteur.
The modification defines that, from the total collected, the prizes will first come out, without fixing the amount, the amount of the incident income tax (30%) and the social security portion (0.10% for bets on physical media and 0.05% for those in virtual environment).
Source: GMB
