Further clarity has been provided for licensees within Brazil’s Bets regime as the Secretariat of Prizes and Betting (SPA) shed light on administrative fees and advertising rules.
Introduced by two new “normative instructions”, the SPA has applied a ‘monthly supervision fee’ framework mandated by the federal legislation governing the Bets regime – Article 30 of Law No. 13,756/2018.
These supervision fees apply to the direct payment of maintenance and regulatory fees used to fund the SPA as it oversees Brazil’s regulated sports betting and iGaming market.
The announcement of this framework follows a previous notice from the SPA determining the calculation of Gross Gaming Revenues (GGR) that licensees must use when auditing and filing accounts for tax reasons.
Within the notice, the SPA determined that GGR ought to be calculated as a company’s total revenue from bets, minus the prizes it pays to winners and income tax on said prizes.
Eight revenue brackets will be used for the new framework, with monthly payments decided by the amount of GGR produced by each company. The bottom bracket will see companies with BRL 30m GGR (€5m) ordered to pay a monthly supervision fee of BRL 54,419.56 (€9,000).
Meanwhile, companies in the top bracket of BRL 660.96m (€110m) will be charged with a fee worth BRL 1,944,000.00 (€324,000).
Each company is required to pay these supervision fees by the 10th of the month following the prize distribution, following the Union Collection Guide (GRU).
SBCNoticias Brazil explained: “The process of transferring the collected amounts to the National Treasury’s Single Account will be carried out through the PagTesouro digital payment processing system, managed by the National Treasury Secretariat. The normative instruction establishes that payments can be made via PIX, credit card, or a simple GRU bank slip.”
Last week, the SPA also published a normative instruction announcing that licensees are not allowed to use national symbols in advertising campaigns or marketing materials promoted to customers.
These national symbols include currency signs and images of Brazilian banknotes and coins, hoping to “prevent misleading claims suggesting that prizes will be paid in cash, which is prohibited by law.”
Non-compliance could lead to fines, suspension of promotions or revocation of authorisation for future campaigns.
