Brazil: Chamber of Deputies Raises Betting Tax in Fiscal Benefits Bill

Brazil.– December 18, 2025 – www.zonadeazar.com In a government-led move in the Chamber of Deputies, Brazilian lawmakers approved a legislative text that cuts tax benefits and increases the tax burden on online sports betting (bets) and fintechs as part of a broader revenue package.

Overview
The Brazilian Chamber of Deputies approved the base text of a complementary bill that proposes reductions in federal tax benefits while simultaneously increasing the tax rates applicable to online sports betting operations (bets). The measure is part of a larger package pushed by the Executive to strengthen revenue ahead of the 2026 budget.

Details / Context
The legislative proposal includes an overall reduction of about 10% in tax incentives, phased over two years, affecting various taxes such as PIS/Cofins, corporate income tax (IRPJ), CSLL, import tax and IPI. At the same time, the bill raises the tax burden on online sports bets, with tax rates to increase gradually over the coming years.

Specifically, the tax rate on betting revenue will rise from the current 12% to 13% in 2026, 14% in 2027 and 15% in 2028, with additional revenue earmarked for social security and health programs under the plan agreed by lawmakers.

Specific subtopics
Beyond the impact on bets, the bill also increases taxes on fintechs and other financial entities, including phased increases in the CSLL rate over the next years, supporting the government’s broader revenue goals.

The legislative debate took place amid efforts to secure approval for the country’s budget for the upcoming year, with the government framing the measure as essential for fiscal balance and industry critics warning about potential negative consequences.

Future outlook
With approval in the Chamber, the bill now moves to the Federal Senate for further scrutiny and possible amendments before becoming law. The final outcome will shape Brazil’s tax framework for the online betting market and contribute to the government’s fiscal strategy.

🔗 Editó: @_fonta www.zonadeazar.com