Brazils Chamber of Deputies has approved legislation to make internet gambling, including sports wagering and virtual casinos, lawful and subject to regulations.
This pivotal move, referred to as the “gaming initiative,” sets the stage for a controlled online gambling sector to appear in Brazil as soon as 2024, contingent upon the president’s final consent. The measure had previously been endorsed in September but encountered resistance in the Senate, necessitating this week’s critical vote in the House.
The Senate had earlier sought to omit online casinos from the legislation, but the House ultimately reversed this amendment. This bill, the culmination of extensive discussions, establishes a structure for taxing both businesses and individuals, along with setting forth clear guidelines for authorized operators.
As per the proposed rules, gaming enterprises would keep 88% of their gross earnings, with the remaining 12% designated for various public sectors such as education, law enforcement, and athletics.
Nevertheless, the decision has ignited controversy. Critics like Representative Eli Borges contend that legalizing gambling will have detrimental effects, especially for youth, potentially triggering a rise in addictive gambling.
Conversely, House Speaker Arthur Lira, a supporter of regulation, maintains that unregulated platforms are already operational and necessitate supervision. He stresses that Brazilians are already engaging in gambling activities, and disregarding the matter won’t eliminate it. Rather, he posits that regulation will provide essential control and generate income for vital public sectors.
Representative Adolfo Viana, a strong supporter of the legislation, contended that its aim was to implement distinct rules and levies on internet gaming sites. He cautioned that if the measure failed to pass, these sites would persist in operating unchecked, presenting a danger to users and possibly depriving the government of vital funds.
