Lawmakers propose limiting bets for those enrolled in social programs and banning betting advertising.
Given the growing concern about the impact of online gambling on the income of Brazilian families, members of Congress have filed several bills in recent days aimed at revising the gambling law – approved by Congress and signed by Lula at the end of last year – which is currently being regulated. Among the suggested measures are limiting the amount of bets for beneficiaries of social programs, prohibiting gambling advertisements, and even banning transfers via Pix (Brazil's instant payment system), according to a report by Estadão.
Senator Alessandro Vieira (MDB-SE) filed two bills this Wednesday, the 26th. The first proposes limiting the betting amounts for people registered in the CadÚnico – used for the inclusion of low-income families in social programs, such as Bolsa Família –, the elderly, and people with negative credit scores or active debts.
The proposal suggests for these groups “a limit on financial losses, whether in absolute or percentage value; a restriction on monthly transfers to betting platforms and a limit on the monthly amounts transferred, based on the income declared by the bettor”.
The project's justification cites a Central Bank study that revealed that, in August, 5 million people from families receiving Bolsa Família benefits sent R$ 3 billion via Pix to betting platforms.
“We understand that Bolsa Família is an important income distribution benefit. Although it is argued that families themselves know best how to use it, according to their specific needs, it cannot be denied that beneficiaries are in conditions of social vulnerability that demand limitations on their choices,” says Vieira.
The senator's second bill, in turn, proposes a total ban on gambling advertising throughout the national territory. The exception would be the display of advertising within physical or virtual gambling establishments, provided it is accompanied by warning messages about the risks of gambling.
The proposal includes limiting bets by value, percentage of income, and risk behavior, as well as increasing taxation to 30% on net winnings. The law approved last year provides for a 15% tax for bettors on winnings exceeding R$ 2.112.
Representative Mendonça Filho (União-PE) proposed classifying betting advertisements with age ratings and restricting the times during which the ads are broadcast, in addition to requiring clear warnings about the risks of addiction and the financial losses associated with gambling.
Meanwhile, Congressman Luiz Gastão (PSD-CE) is gathering signatures to file a Proposed Amendment to the Constitution (PEC) that equates sports betting to alcoholic beverages, tobacco, pesticides, and medicine, and imposes legal restrictions on commercial advertising in the sector, requiring warnings about the harmful effects.
The Ministry of Finance published, at the end of July, a decree with rules to prevent and punish abusive advertising and to require betting companies to take action to address addiction disorders – including the suspension of players with a “high risk of addiction”.
However, there are no specific criteria for this classification, which would be the responsibility of each company – “provided it meets the minimum requirements defined in the ordinance,” the ministry emphasizes. Furthermore, these rules will only come into effect in January 2025.
On Wednesday, Finance Minister Fernando Haddad stated that the regulation includes a type of monitoring of CPF numbers (Brazilian taxpayer identification numbers). "We will be able to have an alert system regarding people who are showing a certain psychological dependence on gambling," he said during a conference hosted by Safra bank.
Pix and card
Brazilian congressman Carlos Hauly (Podemos-PR) proposed a ban on any electronic means of placing bets – including via Pix, the predominant method of transferring funds to platforms. He suggests that the use of electronic means for betting should result in a fine of up to R$ 5 million, suspension of the platform's activities for 12 months, and even the loss of the authorization granted by the Treasury to operate.
The Ministry of Finance's regulations already prohibit the use of credit cards for betting, but the rule will only come into effect in January 2025.
Faced with pressure from the financial and retail sectors for an immediate ban on this method, the platforms that are part of the National Association of Games and Lotteries (ANJL) stated that they will bring forward the ban on the use of credit cards to October 1st – which, however, represents only 3% of bets on associated platforms.
