The deadline to pay income tax on betting is April 30th: delays may result in fines and an irregular CPF (Brazilian taxpayer ID).

The deadline for paying income tax on winnings from sports betting, also known as "bets," is April 30th. This date requires attention from taxpayers who made profits throughout 2025, especially since the tax payment occurs before the submission of the annual tax return, scheduled for May.

According to tax lawyer and accountant Gabriel Santana Vieira, there is still a lot of confusion about this step. “Don't confuse it with the annual tax return. By April 30th, taxpayers must pay the tax calculated on net earnings from the previous year that were not subject to withholding tax. This is the time to issue and pay the DARF (tax payment slip). Those who wait until May to resolve this are already at a disadvantage, as the payment deadline is brought forward,” he states.

According to the expert, residents of Brazil who have profited from bets above the exemption limit are required to pay the tax. Currently, monthly net earnings of up to R$ 2.824,00 are not taxed. Above this amount, a 15% tax rate applies.

"The tax authorities don't tax your capital, but rather your winnings. The calculation is based on net profit. The tax only applies to the new wealth you generated on the platform," explains Gabriel.

According to him, calculating the tax is relatively simple: 15% is applied to the net profit obtained. However, the challenge lies in organizing the information. "It's vital to maintain strict control over deposits and withdrawals, because, as a rule, Brazilian law does not allow offsetting losses from an unsuccessful bet against the profit of another, unless they are part of the same session or event," he emphasizes.

Another point to note is the difference between paying and declaring. “This is the mistake that generates the most fines: April is the deadline for paying, while May is the deadline for declaring. If you declare in May that you earned in 2025, but haven't paid the tax by April, the tax authorities receive your acknowledgment of debt and automatically apply the fine,” he warns.

Failure to pay on time may result in financial and administrative consequences. The late payment penalty is 0,33% per day, capped at 20%, in addition to the Selic rate. "Besides the financial loss, the CPF (Brazilian taxpayer ID) may enter a 'pending regularization' status, blocking everything from opening bank accounts to renewing passports," he adds.

Oversight should also be intensified. With the regulation of the sector, betting platforms have started reporting data to the Federal Revenue Service, which cross-references information with bank transactions. "The Revenue Service now operates with a 'supercomputer'. With data cross-referencing via PIX and systems like e-Financeira, the tax authorities know exactly when your bank balance doesn't match your declared income," he states.

Given this scenario, the risk of being flagged by the tax authorities is considered high. "The risk isn't just theoretical, it's real. Winnings from betting are taxable income. If there's a discrepancy between what the platform reported and what you declared, the cross-checking is immediate," he says.

To avoid problems, the expert emphasizes the importance of correctly declaring income and keeping documentation organized. “Omission is the number one mistake. Many believe that because the money is in 'virtual wallets' or foreign websites, it's invisible. It's not. Without receipts and statements, the taxpayer loses the ability to defend themselves in case of an audit,” he concludes.