Official Statement
The National Association of Games and Lotteries (ANJL) expresses deep concern over the approval yesterday (10), in the Federal Senate plenary, of the Anti-Faction Bill (PL 5,582/2025). The text includes the creation of a 15% Economic Domain Intervention Contribution (CIDE) on bettors’ deposits – a measure that significantly alters the tax structure of the country’s betting sector.
There is also a central contradiction in the approved bill: while the proposal aims to combat criminal factions, creating a CIDE on deposits tends to strengthen precisely the organizations the text intends to confront. By overtaxing the regulated market, the State pushes bettors toward illegal platforms—many of which are operated by criminal networks with global reach. In practice, the measure weakens the legal environment, reduces tax revenue, and increases the economic power of groups operating outside the law.
“There is a mistaken belief that the total tax burden would be only 12%. In practice, those 12% represent an additional component on top of all taxes already paid by any company in Brazil,” explains ANJL president Plínio Lemos Jorge.
According to him, the chosen tax base is inadequate and disconnected from the real functioning of the industry. “Our concern is that the proponents of the measure do not understand its impacts or the serious economic consequences it will bring for the sustainability of the regulated market,” he states.
Creating a new tax precisely at the moment when the regulated market is still consolidating increases unpredictability, weakens legal certainty, and undermines the confidence of companies that have invested billions in formalizing the sector, responding to a call from the government itself. For this reason, ANJL appeals to deputies to reconsider the measure during the bill’s next review.
With the approved changes, the text now returns to the Chamber of Deputies. For ANJL, the current stage of the bill demands even greater urgency in conducting a technical debate with the sector, especially because the proposal is integrated into the Legal Framework for Combating Organized Crime. The measure directly affects the newly established regulation, which defines essential parameters for the economic viability of the activity and for the protection of bettors.
The Association emphasizes that no country in the world has succeeded in taxing bettors’ deposits. “This happens for a simple and internationally recognized reason: once users perceive taxation on the deposited amount, they automatically migrate to illegal operators, frustrating the central purpose of regulation, which is to bring the market into legality,” explains Lemos Jorge.
ANJL also notes that betting operators act as custodians of customer funds — which continue to belong to the bettor even after being deposited on the platform. “Taxing this stage would be equivalent to charging a tax for someone to deposit money into a bank account or load a prepaid card — a dangerous precedent with no parallel in the Brazilian tax system,” the president highlights.
The Association believes there are far more effective and less harmful alternatives to finance public security initiatives, such as allocating a portion of the already billion-real revenue from Gross Gaming Revenue (GGR). This would avoid creating a new tax and preserve the regulatory environment built so far.
National Association of Games and Lotteries (ANJL)
Source: GMB