Brazil's Online Betting Market: A New Regulatory Era Begins
Brazil’s online betting market entered a new regulatory phase on 1 January 2025 with the implementation of Law No. 14,790/2023, establishing a comprehensive framework for licensing, taxation and compliance. The legislation introduces federal oversight aimed at enforcing compliance, taxation and consumer safeguards in a fast-growing, mobile-first market.
Operators must obtain federal authorisation and establish a locally incorporated entity, with a minimum 20 percent Brazilian shareholding. The framework includes identity verification through CPF, restrictions on payment methods such as the prohibition of credit cards, and requirements for geolocation, cybersecurity and fraud prevention. Independent verification and ongoing compliance attestation by accredited laboratories are mandatory.
Taxation Framework:
12% GGR Levy with Proposed Increase to 18%
The tax regime initially sets a 12 percent levy on gross gaming revenue, with a proposed increase to 18 percent, alongside taxation on player winnings above specified thresholds.
In an exclusive conversation with SiGMA World, Dr. Aftab Rizvi, Chairman of Gaming Associates, discussed Brazil’s online betting regulation and compliance framework, stating that, “Brazil has one of the most gaming-engaged populations and has emerged as a significant force in the global gaming market. Recognising the importance of safeguarding gaming enthusiasts, particularly younger audience, the government’s introduction of regulatory requirements is both timely and appropriate. These measures aim to protect individuals from undue influence, excessive debt, and data misuse, while also promoting transparency, ensuring safer and fairer gaming environments. This represents a positive and commendable step forward.”