The Senate advances authorization for the operation of casinos, bingo halls, jogo do bicho, and horse races

During the session, Senator Irajá highlighted the benefits observed in countries that have responsibly regulated gambling, such as increased tourism and economic growth. He estimated that the project's approval could attract investments of up to R$ 100 billion and generate around 1.5 million direct and indirect jobs. Additionally, the anticipated annual revenue, divided among states, municipalities, and the Union, could reach R$ 22 billion.

According to Irajá, various types of currently illegal gambling activities generated between R$ 14.3 billion and R$ 31.5 billion last year alone. This estimate was based on 2014 data adjusted for inflation. He argued that legalizing these activities would allow the state to regulate and monitor them, reducing potential ties to organized crime.

Despite positive economic prospects, the project faces resistance from critics in the Senate. Senators like Alessandro Vieira (MDB-SE) warn of increased money laundering and associated criminality with legalized gambling.

Members of the evangelical caucus also opposed the project. Senator Magno Malta (PL-ES) likened gambling addiction to drug dependency, while Senator Eduardo Girão (Novo-CE) cited studies on increased crime rates in areas with casinos, such as Las Vegas in the United States.

Casinos

The project sets specific criteria for each type of game. Casinos, for example, can only be established in tourist hubs or integrated leisure complexes such as resorts, which must include a minimum of 100 rooms, restaurants, bars, and spaces for cultural events. Each state will be limited to one casino, except São Paulo, which may have up to three, and larger states like Minas Gerais, Rio de Janeiro, Amazonas, and Pará, which may have up to two each.

Casinos can also be set up on maritime vessels (up to ten nationwide) and river vessels with at least 50 rooms, under the following limits: one casino on rivers between 1,500 and 2,500 kilometers in length; two on rivers between 2,500 and 3,500 kilometers; and three on rivers longer than 3,500 kilometers.

Bingo Halls

Bingo halls may be permanently operated in specific locations, featuring electronic and video bingo cards. Bingo halls will be allowed in each municipality, with differentiated criteria for larger cities.

Jogo do Bicho

Jogo do bicho will be regulated with one operator per 700,000 inhabitants in each state, except for Roraima, which may have one operator due to its smaller population size.

Horse Races

Betting on horse races will be allowed only through accredited turf entities.

Machines

The project also regulates the rental of betting machines, requiring all machines to be registered with the government and undergo periodic audits. Gaming and betting equipment must be operated with 40% of the revenue going to the leasing company and 60% to the bingo or casino establishment, based on gross revenue, which is the difference between the total bets made and the prizes paid.

Two new taxes will be created and must be paid by licensed gaming and betting operators, namely the Gaming and Betting Supervision Fee (Tafija) and the Economic Domain Intervention Contribution on gaming and betting sales (Cide-Jogos). Betting houses will be exempt from other taxes and contributions.

Tafija must be paid every three months, amounting to R$ 600,000 for casinos; R$ 300,000 for online gaming houses; and R$ 20,000 for bingo halls, "jogo do bicho" operators, and turf entities.

Cide-Jogos will have a rate of up to 17% (which may be reduced at the discretion of the Executive Branch) for all entities operating games and bets, levied on gross revenue. Part of the revenue will go to the Fund for State and Municipal Participation, Embratur, sports, culture, and social actions.

Betting machines will also be regulated, with requirements for registration and periodic audits to ensure transparency and operational security.

The project establishes several measures to regulate and control gaming and betting in Brazil, aiming to protect players and ensure the integrity of the games. Individuals in full exercise of their civil capacity can place bets, except those declared insolvent, deprived of the administration of their assets, or super-indebted, who have been in a debt restructuring process in the past two years. Public officials responsible for gaming regulation and administrators of gaming houses are also prohibited from betting.

The text proposes the creation of the National Registry of Prohibited Persons (Renapro), a database that prevents listed individuals from placing bets and entering gaming venues, including apps and electronic websites. Bets placed by individuals listed in Renapro are considered void, as are any obligations assumed during the games.

The National Policy for the Protection of Players and Bettors will be implemented to ensure transparency in gaming and prevent compulsive behavior. Players must be clearly informed about the rules and odds of winning each game.

Gaming operators must maintain trained personnel to clarify doubts and receive complaints from bettors, with a prohibition on these employees engaging in game execution, promotion, or offering. Advertising cannot use children and adolescents, associate betting with financial or social success, or promote the idea that betting is virtuous. Loans, bonuses, or prior advantages to bettors are not allowed, nor are partnerships to facilitate credit access.

Contracts and promises involving asset transfers to pay gambling debts are not legally valid unless made with duly licensed entities. These measures aim to regulate a historically problematic sector, ensuring games are conducted fairly and responsibly, protecting consumers and mitigating potential negative impacts on society.

The approval of the bill regulating casinos, bingo halls, "jogo do bicho," and horse races marks a milestone in the discussion on legalizing these games in Brazil. While proponents argue that the measure could boost the economy and increase tax revenue, critics warn of increased crime and gambling addiction risks.

The challenge for the Senate now will be to balance the potential economic benefits with the need for strict regulation and effective oversight to mitigate negative impacts. The debate in the plenary promises to be intense, reflecting the diversity of opinions on a topic that involves significant opportunities and challenges for the country's future.

Source: Senate Agency