The law, signed into law by President Lula in October, faced partial vetoes that were later overturned by Congress in December. The debate over the time frame is expected to continue, and representatives of indigenous peoples say they will appeal.
The economic agenda played a central role for the government in the first year of the legislature, aiming to increase revenue. Of note is the bill known as the PL das bets , drafted for this purpose.
According to the legislation, companies operating in the sports betting sector must obtain authorization from the Ministry of Finance to operate. Additionally, bookmakers will be subject to a 12% tax rate on total cyprus mobile database revenue, while betting winners will be subject to a 15% tax on prizes exceeding R$2,112.
The government estimates that it will raise R$1.6 billion through this taxation.
Taxing the super-rich
Now enacted, the law imposes taxation on profits and income for high-income investors, notably the super-rich, who invest resources abroad, including in tax havens, and in exclusive funds, a modality restricted to individuals with substantial income in Brazil.
According to the federal government, this legislation resolves tax issues in the country, ending the practice of postponing the payment of income tax on interest and other income, a strategy frequently adopted by high-income individuals.
The scope of the new law is aimed at less than 100,000 Brazilian investors who operate abroad, especially in offshore companies, and less than 20,000 of these investors have closed-end funds in Brazil, which are considered domestic investments. Under the current legislation, profits and income will be taxed at a rate of 15%. For those who invest outside the country, payment will be made annually through the Income Tax Declaration.