"Online gaming is already happening in Brazil and it should be discussed ASAP"

"I just want to say we should have this discussion when the time is right, because currently in Brazil there are between nine and ten companies that are operating online gaming," Maia said.

2020-06-08

Brazil

Reading time 1:33 min

Congressman Paulo Pereira Da Silva withdrew a proposed amendment to a piece of legislation that would have introduced changes to the recently enacted sports betting law, as it was not in line with the evangelical legislators’ beliefs. According to Rodrigo Maia, the current president of the Chamber of Deputies, online gaming is already happening in Brazil: "It is not regulated so operators do not pay taxes, and that is why it should be discussed ASAP."

"I proposed an amendment to the Medida provisória [a presidential decree that needs the Congress’ approval to become a law] (…) but that cause heated debate and I did not mean to cause any trouble. I held talks with many political leaders such as Baleia Rossi, Aguinaldo Ribeiro, Arthur Lira, and Major Vitor Hugo, and I concluded it was best to withdraw the amendment" said Pereira Da Silva during a legislative session on Monday that approved Medida provisória 923/2020, which allows the broadcasting of prize draws on national TV and radio stations.

Since the amendment faced difficulties, Pereira Da Silva requested the president of the Chamber of Deputies to remove it.

"We should debate proposals that create jobs, income, and tax revenue. My proposed amendment would allow the government to collect approximately BRL 3 B (USD 605 M)".

Following this statement, Rodrigo Maia (DEM - RJ) voiced his support and thanked Pereira da Silva for his gesture, but said the issue should be discussed separately and urgently: "Online gaming is already happening. It is not regulated so operators do not pay taxes, and that is why it should be discussed ASAP."

"I just want to say we should have this discussion when the time is right, because currently in Brazil there are between nine and ten companies that are operating online gaming. There is a conflict with the “Evangelical Bench” [a cross-party group of evangelical legislators] which seems to be hindering my proposed changes. These companies are operating here but they do not pay taxes. Therefore, this activity must be regulated so Brazil can obtain proceeds from it," the lawmaker explained.

"The competition, which some members of the Evangelical Bench believe could arise, is already here. It is happening but without a proper taxation framework. If we regulate online gambling, these companies will be required to pay taxes. In that way, the competition that currently does exist will be fairer," he concluded.