The project was introduced by the chair of the CAE, Senator Renan Calheiros (MDB-AL), as a complement to Bill 1,087/2025, which exempts individuals earning up to R$ 5,000 (US$925) per month from Income Tax and increases taxation on high incomes.
The rapporteur, Senator Eduardo Braga (MDB-AM), even read his opinion on raising the tax burden on bets and fintechs on November 4, but Renan granted a collective request for further review. After that, the proposal was removed from the agenda twice due to a lack of agreement for approval and fears that it would be rejected by the Chamber of Deputies if passed by the CAE.
Eduardo Braga is redrafting his report and has kept the details confidential regarding how he will handle the matter in the CAE. Not even close allies have been briefed, as he fears potential pressure on undecided members over the increase.
He has said that raising the tax burden on bets only makes sense if the government is able to effectively combat the illegal market.
The CAE’s decision is final. In other words, if approved, it goes directly to the Chamber of Deputies unless there is an appeal to bring it to a floor vote.
Source: GMB
