Although the Brazilian Institute of Responsible Gaming (IBJR) expressed its support towards the approval of the Chamber of Deputies regarding Bill 3626/2023. Moreover, it issued a statement highlighting the need to make some changes in the legislation.
According to the entity, if the text is approved in its current form, the new law will make it impossible for companies to create competitive and attractive products for players since the prizes will be lower than those offered in the illegal market.
André Gelfi, President of the Brazilian Institute of Responsible Gaming The project as it is currently presented, according to the IBJR, leads operators to desist from obtaining a state license and paying taxes since they will find themselves in an irregular market where legalized operators will find it impossible to compete.
Reiterating that their concerns have not been addressed by both the Executive and Legislative Branches, the members of the Institute warn that they are reevaluating possible investments in the country, not only in betting but also in sponsorship, where they are an important source of income for most clubs.
“For the markets to succeed, maximizing public revenues and protecting the integrity of sports, betting, and the fight against money laundering, Brazil must change course and take the following measures: extend the duration of the operating license, readjust tax rates, adjust inspection fees, adjust licensing, as well as review the calculation of income tax withholding,” the statement reads.
“Fortunately, there is still time to implement a policy that aligns the interests of the Brazilian society, the government, the consumers, and the companies that make up the national gaming and betting ecosystem”, the entity led by André Gelfi concluded.