Congress Forms Joint Committee to Review Brazil Betting Measure

Brazil.- 2 October 2026 | www.zonadeazar.com Brazil’s National Congress has appointed the members of the joint committee that will examine Provisional Measure 1,394/2026, which bans the operation, offering, intermediation and advertising of fixed-odds betting.

The development comes as a technical note from the Chamber of Deputies’ budget consultancy questions the lack of an explicit methodology behind the Government’s fiscal estimates.

Joint Committee

The committee will include deputies and senators from several political parties.

There is still no confirmed date for its formal installation.

The chair will be a senator and the rapporteur a deputy, with both positions dependent on an agreement among parliamentary leaders.

Rapporteur’s Role

The rapporteur will be responsible for reviewing:

  • The original text.
  • Submitted amendments.
  • Budgetary implications.
  • Any substitute proposals.

A report will then be submitted for a vote by the committee.

Chamber Technical Note

The Chamber’s Budget and Financial Oversight Consultancy attached a technical note to the legislative process.

It was signed by consultant Tiago Mota Avelar Almeida and focuses on the measure’s fiscal implications.

Revenue Loss Estimates

The Government’s Explanatory Memorandum estimates tax revenue reductions of:

  • R$1.541 billion in 2026.
  • R$5.150 billion in 2027.
  • R$5.330 billion in 2028.

Further losses are expected from supervisory fees.

Methodology Not Explained

The consultancy said those figures were not accompanied by sufficient explanation of how they were calculated.

According to the technical analysis, the Government did not detail the assumptions or methodology behind the estimates.

Article 143 of Brazil’s 2026 Budget Guidelines Law requires that level of detail for proposals reducing public revenue.

Not Considered a Tax Waiver

The note also states that the revenue reduction does not qualify as a tax expenditure under Brazil’s Fiscal Responsibility Law.

The loss results from prohibiting the underlying activity rather than granting a tax exemption or benefit.

The Government therefore would not be required to present offsetting fiscal measures.

No Direct Spending Increase

The consultancy also assessed the expenditure side.

Although the measure creates an inter-institutional enforcement committee and distributes responsibilities among several agencies, it does not create new paid positions.

No direct additional spending subject to the relevant Fiscal Responsibility Law rules was therefore identified.

Amendments

The amendment deadline ends on 1 October.

Proposals already filed include one seeking to limit the prohibition to slot-style games while preserving sports betting.

Other amendments address federal income-support beneficiaries, public health and the allocation of proceeds from penalties.

Implementation Timetable

The committee begins its work while much of the measure’s implementation schedule is already under way.

Key dates include:

  • 5 October: deadline for voluntary player withdrawals.
  • 6 October: betting websites and apps must go offline.
  • 14 October: financial reimbursements must be completed.
  • 25 October: betting authorisations are extinguished.

Congressional Deadlines

The measure initially has until 23 November to be voted on.

That period may be extended by a further 60 days.

From 9 November, the measure may begin blocking the legislative agenda if it remains unresolved.

Regulatory Context

The creation of the committee formally opens the congressional phase of the betting-ban debate.

At the same time, trade bodies, operators, football clubs and other stakeholders continue challenging the measure through political and judicial channels.

Next Steps or Impact

The next stage will be the committee’s formal installation and the appointment of its chair and rapporteur.

It will then begin reviewing amendments and the original text.

The Chamber’s technical note adds further scrutiny over the fiscal assumptions behind the ban while the regulated market moves rapidly towards the shutdown dates established by the measure.

Editó: @fonta

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