Brazil has taken another major step in strengthening its regulated betting market by combining an enforcement campaign against illegal gambling promotion on the internet with a new tax framework for licensed betting platforms. Within a single week, the federal government introduced two complementary measures aimed at reinforcing compliance with Law No. 14,790/2023, tightening oversight of the industry's fiscal, financial and digital environment.
On 3 July 2026, the Office of the Attorney General of the Union (AGU), led by Jorge Messias, formally notified Google Brazil, demanding the removal of YouTube channels that promote illegal betting operators or provide tutorials on how to create and market unauthorized online casino platforms. The action was initiated by the National Office for the Defense of Democracy, which identified channels dedicated to teaching users how to build unlicensed gambling websites, promote online jogo do bicho, and market systems designed to operate outside Brazil's regulated framework. According to the AGU, such content encourages illegal gambling activities and undermines the country's licensed betting market.
At the same time, the Brazilian Federal Revenue Service (Receita Federal do Brasil – RFB), headed by Robinson Sakiyama Barreirinhas under the Ministry of Finance, led by Fernando Haddad, published Normative Instruction RFB No. 2,331/2026 on 1 July 2026. The regulation introduces an optional self-withholding income tax regime for digital platforms, including licensed betting operators. While maintaining the existing 1.5% withholding tax on commissions and similar remuneration, the measure allows platforms to assume responsibility for withholding and remitting the tax themselves, simplifying compliance for contracting companies without altering the tax treatment applicable to bettors.
The measures complement the work of the Secretariat of Prizes and Betting (SPA), directed by Daniele Correa Cardoso, which oversees Brazil's regulated fixed-odds betting market. During 2026, Brazil also increased the tax on Gross Gaming Revenue (GGR) to 13%, with a scheduled rise to 15% by 2028, while tax revenue from online betting and sports wagering increased 85.88% between January and May compared with the same period in 2025.
Together, these initiatives demonstrate Brazil's strategy of simultaneously protecting licensed operators, improving tax collection, disrupting illegal gambling promotion and strengthening confidence in one of Latin America's fastest-growing regulated betting markets.
