Brazil: Bingo legalization definitely discarded as a way to finance Health

With the aim to make the resources for Health request come true, in the country it emerged a speech in unison to boost the creation of a new tax in line with the extinct Provisional Contribution on Financial Transactions (CPMF, due to its acronym in Portuguese).

Other alternatives have been considered in order to finance Health: the increment of the Tax on Industrialized Products for cigarettes, to charge a gaming tax in case the bingo bill is approved, tax to big fortunes and the increment of car insurance, known as DPVAT. However, these options have been given up, arguing that they would be hard to implement.

As the Congress is not in conditions to approve a new tax nowadays, the Government studies the alternative to finance the Health sector through royalty interest from the deepest oil fields. The idea is that a certain quantity of money from the royalties is allocated to a fund and then given back to regional governments with the aim to finance Health.

Some sectors had manifested that, if President Dilma Vana Rousseff and Brazilian representatives really wanted to create a new source of funding for Health, the solution was simple: to legalize the operation of bingo halls and casinos and to tax games of chance.

Those who declared in favor of this initiative argued that more than 400,000 jobs would be generated and around us$ 603.6 million a year in taxes and incomes for public funds. Besides, gaming make cities increment their tourist potential. One of the obstacles to legalize bingos and casinos in Brazil are religious representatives in the National Congress.

Considering this voices, the government denied the possibility of legalizing games of chance with the aim to attract more money to the Health sector. “The Goverment does not support gaming legalization”, assured Ideli Salvatti, Minister of Institutional Relations. “The Congress must evaluate issues than may contribute to new health resources”, added the officer.