The Constitution and Justice Committee (CCJ) of the Brazilian Senate approved bill PL 2234/2022, which authorizes the operation of bingos and casinos and regulates gambling, such as jogo do bicho and betting. The text also revokes sections of the Criminal Offenses Law, which establishes punishments for these practices.
The operation of gambling activities must comply with several strict criteria, such as minimum amounts of capital for companies and proof of the legal origin of the resources. Only companies based in Brazil will be able to operate these games, which will be permitted in previously authorized locations.
The project also stipulates that the Ministry of Finance will be responsible for defining the licensing, inspection and authorization processes for the exploration of games of chance. The Government may also establish a regulatory agency for this purpose.
Casinos will be installed in high-end resorts or vessels, with electronic games, roulette, cards and other types of games. First, there will only be one concession per State, with the exception of tourist centers and the most populous federation units. In relation to bingos, municipalities will be able to hold this modality in stadiums and bingo halls will be allowed at a rate of one for every 150,000 inhabitants. Those interested in playing games like Bicho must demonstrate financial capacity and the redemption of prizes up to the income tax exemption limit will not require identification from the player.
Occupiers of public positions or administrators of companies that have state resources, those convicted of crimes such as administrative improbity, tax evasion and corruption and people disqualified or suspended by entities such as the Securities and Exchange Commission and the Central Bank will not be able to explore these activities.
Approved by the Chamber of Deputies in 2022, the project faced many barriers in its passage through the Senate, mainly resistance from conservative parliamentarians and social movements, who on several occasions pressed for postponements of the discussion of the text.
With approval by the Senate’s CCJ, the gambling project will proceed to analysis in the House plenary. If it is approved without changes, it will be sent for sanction by President Luiz Inacio Lula da Silva (PT), as the senators did not modify the content of the text.
Project 2234 of 2022 gives the Ministry of Finance 90 days to regulate and provide a license for gambling operators after approval in Congress and the sanction of the law. The ministry must also provide licenses for gaming operators and the rules for these licenses will be set by the Ministry itself.
The project’s rapporteur, senator Iraja Abreu (PSD of Tocantins), defended the PL and said that it is an opportunity to generate income and jobs and a way to bring activities outside the law into legality: “We are going to collect from these games today, that they are illegal, that they are clandestine, that they are operating under the shadow of the law, in which we collect absolutely nothing. We will start to raise around R$22 billion (USD 4 billion) annually. This, of course, will be divided between the States, the Municipalities and the Unio.”