Receita Federal (RFB) has reported collecting R$3.8 billion in taxes from the betting market. While this figure is viewed as a positive result, SBC News expert Elisa Marcante notes that uncertainties remain regarding the long-term tax policy for the sector.
The Ministry of Finance (MEF) has released federal tax revenue data for the first half of 2025, reflecting the “first economic contribution of Brazil’s new online gambling and betting market.”
From January to June 2025, federal tax revenues totaled over R$1.4 trillion (€250 billion), representing a 4.38% increase compared to the same period in 2024, adjusted for inflation (IPCA). By comparison, the government collected R$1.38 trillion (€248 billion) in the first half of last year.
In June alone, revenues reached R$234.6 billion (€42.2 billion), marking the highest monthly figure since 1995, a 6.62% increase compared to June 2024. According to the ministry, this is the best tax revenue performance since 2000, both for June and for the year to date.
Taxes administered by the Receita Federal brought in R$226 billion (€41 billion) in June, 7% more than in the same month last year. In total, RFB-managed revenue from January to June reached R$1.36 trillion (€244 billion), reflecting a 5.04% real growth compared to 2024.
The report attributes this growth primarily to two factors: legislative changes related to capital income tax (IRRF-Capital) and emergency tax measures implemented following devastating floods in Rio Grande do Sul.
One of the standout developments in 2025 has been the sharp increase in tax revenues from online betting, including sports betting and digital casino games.
In the first half of 2025, the government collected approximately R$3.8 billion (€685 million) from this sector, compared to just R$14 million (€2.52 million) during the same period in 2024. This total includes taxes collected by Receita Federal across various sectors but excludes social security contributions.
According to the RFB report titled “Activities Related to Gambling and Betting,” R$3.797 billion was collected from January to June 2025, up from R$14 million a year earlier, representing a staggering 28,018% increase.
Corporate income tax (IRPJ) collected from betting operators totaled R$849 million (€152.82 million) in 2025, compared to just R$5 million (€900,000) in the same period last year. R$331 million (€59 million) came from fixed-odds lottery operations, and R$211 million (€38 million) was collected in June alone from PIS/Cofins taxes on revenue from betting-related services.
This sharp rise in revenue is primarily attributed to new regulatory frameworks introduced in late 2023 and early 2024, which brought the sector into formal taxation and significantly improved compliance.
Following Brazil’s summer holidays, Congress and the Senate are expected to debate a proposal to increase the gross gaming revenue (GGR) tax on online operators from 12% to 18%.
The hike is backed by Finance Minister Fernando Haddad, whose original budget proposal was rejected in part due to his attempts to modify IOF tax rates on financial services and transactions.
“If it were up to me, I’d press the stop button. No amount of tax revenue justifies the mess we’ve landed in,” Haddad said in an interview with economist Eduardo Moreira.
He added that “Congress should reconsider the gambling law”, despite his own active role in crafting it.
As it stands, the PT government is entering a period of tough negotiations over its tax plan, which is essential to funding its flagship initiatives, including a new Public Investment Programme, the PAC housing strategy, and key projects in green energy.
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