Dudena detailed the ordinances that authorize the operation of 66 betting sites in Brazil, in effect since Wednesday (1st). Among the requirements that the companies must comply with is the obligation to maintain the betting sites with the domain bet.br, that is, to have their own headquarters in Brazil.
"Any bettor will be protected by the rules. The main change is that, from now on, any company that wishes to provide this service must first request authorization from the Ministry of Finance. Only after obtaining this authorization will it be able to operate nationally,” explains the secretary.
Another point addressed by the Secretary of Prizes and Betting was the use of Bolsa Família on betting sites. According to estimates by the Central Bank, in August of last year alone, 5 million people belonging to beneficiary families sent R$3 billion (US$ 485m) to companies via Pix, with an average expenditure per person of R$100 (US$16).
“With regard to social programs, our initial position, as regulators, is that we should not impose restrictions. The idea of a program of this nature is to offer the resource to the citizen, allowing them to decide how to use it,” explains Dudena.
The use of Bolsa Família on betting sites is controversial. In November of last year, the Brazilian Supreme Court (STF) unanimously upheld the injunction that ordered the federal government to adopt measures to prohibit social benefits from being applied to online betting.
However, the Attorney General's Office (AGU) claims to face technical challenges in preventing the use of Bolsa Família funds in online sports betting.
Among the challenges, the multifunctionality of the beneficiaries' bank accounts, who receive not only Bolsa Família but also other sources of income, and the impossibility of sharing the list of beneficiaries with betting companies, stand out.
In addition, the limitation of blocking measures to debit cards, without covering transactions via Pix or prepaid cards, was cited as a practical barrier that is difficult to overcome.
Measures in force
In addition to the requirement to have its own headquarters in Brazil, other measures have come into force:
- prohibition of credit for bets and entry bonuses
- requirement for bettors to identify themselves by CPF (Individual Taxpayer Registry)
- facial recognition
- control of financial flows.
“Facial recognition allows us to start combating a very serious problem in the betting sector: access by minors under 18 years of age”, says Dudena.
Another important issue is the mental and financial health of bettors. One of the requirements of the Prizes and Betting Secretariat is that the so-called 'Bets' offer the possibility for bettors to delete their registration by simply pressing a button. This is intended to facilitate and speed up a way out for those who identify gambling addictions.
In a measure coordinated with the Ministry of Health, the department also wants to establish preventive actions and treatment through the Unified Health System (SUS). An electronic contact channel should be created so that compulsive gamblers can seek help from a representative of the site.
“Responsible gaming regulations establish controls on how the service can be offered, aiming to protect both the mental health and the financial health of bettors. This way, we know who provides the service and how it should be provided, with special attention to the protection of bettors and the popular economy,” explains the Secretary of Prizes and Betting.
Income tax
The regulation of online betting sites also provides that, at the end of the year, in the Individual Income Tax (IRPF) declaration, bettors will have to report their winnings.
“We are working with the Federal Revenue Service to implement mechanisms that cross-reference this data. Knowing the CNPJ of the companies and the results obtained, we intend to share this information with the Revenue Service, allowing it to use it to verify the Income Tax declarations,” reveals the secretary.
Source: GZH / Rádio Gaúcha
