PT proposes doubling the tax on online betting to 24% after the defeat of the Lula government.

Bets I 10.10.25

By: Magno José

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The proposal, led by Lindbergh Farias, has more than 60 signatures and comes after a provisional measure that taxed betting, banks, and agribusiness lost validity in Congress (Photo: Agência Câmara).

The PT caucus in the Chamber of Deputies presented a bill that doubles the taxation of online sports betting, from 12% to 24%. The proposal was filed on Thursday (9), one day after the Lula government suffered a defeat with the expiration of MP 1.303/2025, which provided for an increase in taxes on betting, banks and agribusiness. PL 5.076/2025 allocates half of the resources collected to the health sector.

"It seems like revenge from the PT (Workers' Party), which during the processing of Provisional Measure 1303 created the slogan 'BBB Taxation,' alluding to the TV Globo reality show, but the words are billionaires, banks, and bets," critics of the proposal claim.

The text amends Law 13.756/2018, which regulates the National Public Security Fund (FNSP) and the distribution of resources from lotteries and fixed-odds betting. The initiative emerges as a legislative alternative after the Provisional Measure lost validity on Wednesday (8), when it was withdrawn from the agenda without analysis of the merits due to impasses with the centrão and the allied base.

Headed by PT leader Lindbergh Farias (RJ), the project has the signatures of more than 60 deputies from the party. The proposal establishes a new distribution of the funds raised from bets: 76% will remain with the operators for costs and maintenance, 12% will be allocated to social security (prioritizing actions in the health area), and the remaining 12% will continue to be divided among public security, sports, culture, and social assistance.

“This proposed law increases Brazilian taxation on betting to a higher level than the average for other activities – which is justified by the fact that betting is an activity harmful to health and the family economy. However, it is important to point out that, even with the proposed increase, the Brazilian tax rate will still be lower than the rate in other countries, such as France and Germany,” says the Workers' Party member.

The proposed increase exceeds that foreseen in the provisional measure that expired, which established a rate of 18%, with 6% for health and 12% for other purposes. Data from the company Comscore, cited in the project's justification, shows that Brazil will occupy the third position worldwide in betting volume in 2024, behind only the United States and England, with 2 billion minutes of consumption per month.

In his justification, the PT leader uses all the opportunistic narratives created before regulation, such as the one claiming the Central Bank identified that 24 million Brazilians transferred money to betting sites between January and September 2024. He also cites a study by the Brazilian Society of Retail and Consumption that reveals the financial impact of betting: 63% of bettors committed part of their income to "bets," 19% stopped shopping at the supermarket, and 11% cut spending on health and medicine.

Currently, the tax burden on online betting in Brazil is approximately 27% of the operators' gross profit. With the proposed new format, this burden would increase to around 35%. Even so, the Brazilian rate would remain below the international average, as demonstrated by the examples of France (55%) and Germany (48%), according to the proposal's justification.

“Online gambling has become a public health problem. It is only fair that they contribute more to the country's funding of the SUS (Brazilian public healthcare system) and other social policies,” argue the Workers' Party members in the justification for the proposal. The text also warns of the rise of gambling addiction, highlighting that “what begins as a game can lead to addiction. Brazil already has more than 2 million people addicted to gambling, and public healthcare services increased by 300% between 2022 and 2024.”

Representative Lindbergh Farias stated: “We want to transform the problem of gambling into an opportunity for investment in health and public safety.” He also emphasized that “we must increase taxes on bets so that gambling becomes a little less attractive and so that the country obtains the necessary resources to invest in health.”

Bill 5.076/2025 is awaiting a decision from the Chamber's Board of Directors and will be analyzed by the Finance and Taxation, Social Security and Family, and Constitution and Justice committees before going to the plenary. If approved, the new rules would come into effect four months after the law is published, allowing a period of adaptation for companies in the sector.

The proposal maintains resources for the National Public Security Fund, which finances policing and violence prevention programs. The project doubles the public share of betting revenue, allocating 12% to social security, focusing on health and combating gambling addiction, and maintaining 12% for public security, sports, and culture.

The Chamber's decision to reject the provisional measure implies the loss of one of the main sources of revenue projected for 2025 and 2026. The economic team estimates a deficit of 42,3 billion reais by next year. Congress members claim there is no other reason for the opposition to the text other than to restrict Lula's fiscal space in the year he is expected to seek re-election.

Check out the full text of Bill 5.076/2025

 


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