DOM 6 DE OCTUBRE DE 2024 - 09:52hs.
Reform

Fantasy games sector says the activity is not harmful to be included in Selective Tax

The Brazilian Fantasy Sport Association (ABFS) criticized the inclusion of the sector in the Selective Tax, which is foreseen in the reform that will be charged on goods and services harmful to health and the environment. The ABFS argues that electronic sporting activity stimulates the development of mental and logical reasoning skills and, therefore, would not fit into the concept of the so-called “sin tax”.

The Working Group (WG) that analyzes the main project of the reform regulation presented its report with the inclusion of all gambling, virtual and electronic, in the Selective Tax, which includes sports betting and lotteries.

The expectation is that the vote in the plenary Chamber will take place next week, but some decisions will still be taken by the College of Leaders, commanded by the president of the House, Arthur Lira. Until then, sectors can still try to reverse changes made to the report.

Fantasy game is an electronic sport in which the competitor becomes coach of a virtual team. The result of the game is based on the performance of teams and athletes in the real world. The activity does not depend on luck, but on knowledge and mental skills. The biggest example in Brazil is Cartola FC, created by Rede Globo and based on the results of the Brasileirão.

In the case of football, for example, the user needs to choose the league he wants to compete in, pay a registration fee for the championship and create a virtual team. The lineup generates gains or losses of points, depending on the performance of real athletes, which are measured by data generated by specialized companies. Goals, passes, cards or saves in the real world generate points in the virtual game.

The competitor with the most points accumulated at the end of the championship wins. The previously established prize becomes available to the winner as soon as the dispute ends.

The Fantasy Sports sector received with concern the replacement presented to Complementary Bill No. 68/2024, which classifies it as part of the Selective Tax. In reality, the sector is an electronic sporting activity that stimulates the development of mental skills and logical reasoning in its users. Therefore, it does not pose any harm to public health or the environment - hypothetical framework for the Selective Tax,” says the ABFS note.

Source: Estadão