MIÉ 6 DE DICIEMBRE DE 2023 - 15:34hs.
Division of the cake

Ministry of Finance already admits to slicing revenue from betting with Sports

The Ministry of Finance admits sharing resources raised from sports betting in Brazil with those from Sports. The Minister of Institutional Relations, Alexandre Padilha, recently said that supervision would be divided between the two departments and that part of the resources allocated to Sports would be used for this purpose. Now, with the negotiations, the Economic Affairs Committee must make this sharing explicit in the report by Senator Angelo Coronel.

Since taking over the Ministry of Sports, André Fufuca had been working towards ensuring that the ministry would receive a portion of the revenue from sports betting. To address this demand, it was initially decided that the Ministry of Sports would oversee issues related to sports integrity and match-fixing.

At that time, the Minister of Institutional Relations, Alexandre Padilha, stated that two secretariats would be created, one in the Ministry of Finance and another in the Ministry of Sports, and he noted that a portion of the revenue was already earmarked for Fufuca's ministry.

Now, in behind-the-scenes negotiations, the two ministries, in collaboration with senators, are working on defining in the Bill 3626/2023 that the sharing of responsibilities—and revenues—be explicitly stated.

Furthermore, in the agreement being crafted, the Ministry of Finance is exerting pressure for a portion of the revenue destined for sports entities and confederations to be directed straight to the Ministry of Sports. Six percent of the revenue would be allocated to Sports, which would allocate 2.63% to sports confederations and entities, with the remaining balance staying in the ministry to cover expenses related to the oversight of integrity and match-fixing.

In the Senate, the rapporteur in the Committee on Economic Affairs (CAE), Angelo Coronel, is expected to amend the allocations to both ministries. He also intends to reduce the tax to be applied to the Gross Gaming Revenue (GGR) of betting houses to around 12% and decrease the percentage applied to winners to 15%.

Coronel is set to present his report for voting in the CAE on the morning of next Tuesday (21), and the Senate President, Rodrigo Pacheco, stated on Thursday that Bill 3626/2023 will go to a vote in the Plenary right after the vote in the Committee on Economic Affairs.

Source: GMB