Brazil: Gambling shortly before legalization
Hardly any other country has needed so many decades to authorize gambling for your own country. We are talking about Brazil, which still does not have a valid gambling law, but is about to do so. At least the majority of the House of Representatives has approved legalization.
Reasons for your own gambling law
The reasons that are quoted by various countries when they create their own gambling laws are varied. Many arguments are very similar, which is why Brazil also sees a good reason for the legalization of gambling: As soon as gambling is offered legally, thegambling corporations have to pay taxes on their income. As soon as this happens, the Brazilian government would use the proceeds for various social projects. The founder of the current bill has announced that the taxes collected will be used to promote social policies in the municipalities and states.
Felipe Carreras, who created the bill, expects tax revenues of almost four billion US dollars . Another reason to legalize various games of chance is tocreate new jobs. There is also a very high estimate in this area: 200,000 jobs could be created in Brazil in the new gambling industry.
Apart from this, there is another reason to legalize gambling. This reason lies in theexisting illegal games of chance which could be combated by a valid gambling law. Last but not least, a law allows the possibility of establishing player protection. To achieve all this, the government hasmore ideas.
Brazil plans two regulators
Usually there are in one country a gambling regulator that takes over all tasks. Theseregulators not only issue licenses, they also monitor whether the gambling providers comply with all regulations and rules. Of course, each country creates different rules, some of which also include player protection. Thanks to the verification of compliance with the regulations, compliance with player protection is also guaranteed. Brazil is going its own way here and is relying on two different authorities:
One authority is given the designation SINAJ and is supposed tomonitor the gambling providers. At the same time, this authority is to keep a register of all gambling providers. Another authority will be set up specifically for problem gamblers. This agency is to be called the National Register of the Prohibited. It is created to protect players. What tasks the second authority will take on in detail remains a secret.
So far it has been published that the law also provides for a credit check of the players. On other points, however, no agreement could be reached during the vote in the House of Representatives. For example, theproposal to raise the tax to 30 percent was rejected. Party leader Reginaldo Lopes regretted this, as there are other areas in Brazil that are taxed even more heavily. He personally cannot understand why games of chance receive a lower tax rate than food, for example.
Special requirements for on-site casinos
The Gambling Act is supposed toOnline games of chance as well as legalize on-site casinos. Specifics have been set for on-site casinos. Thevenues are to be integrated into hotel resorts that have at least 100 rooms. In addition, the resort must have restaurants, cafes and meeting rooms. Shopping facilities must also be integrated into the resort and the area of the casino may not take up more than 20 percent of the entire resort area. Regarding the casino games, an agreement was reached that both roulette and card games may be offered.
In addition, everystate in Brazil receives a license for a casino. Exceptions to this are particularly large states such as Minas Gerais, Rio de Janeiro and Sao Paulo. These may operate two to three casinos. When choosing a city, several factors must be taken into account: tourism, economy and social potential. In addition to a casino resort, a casino is allowed to open in a tourist town. However, such one must be at least 100 kilometers away from the nearest casino resort.
In addition,ships may be converted into a casino. How many ships are approved depends on the length of the river on which the casino ship is sailing. Casino ships must offer at least 50 rooms and may not be anchored in the same port for more than 30 consecutive days. Up to 10 ships are to be allowed to operate per license.
Which games of chance are generally permitted?
The draft law stipulates that all types of games of chance are permitted. Should there actually be such a law in Brazil, thepopular casino games such as roulette, slot machines and card games would be allowed. Sports betting and bingo are also to be legalized. Thanks to this extensive range, there is a very good chance that illegal gambling can be combated.
Only the future will show how many and which gambling providers will be interested in a license. Brazil requires applicants to have a certain amount of equity and provide some guarantees. The guarantees can be given either in cash, via a bank account or in the form of a special insurance. It is interesting for gambling companies that theterm of the license is fixed at 25 years and can be extended by the same period.
When will the gambling law come into effect in Brazil?
The first hurdle for your own gambling law has been cleared. After the vote in the House of Representatives now follows a vote in the Senate. How this will decide cannot be estimated. If the Senate also agrees, Brazil will face another problem: President Jair Bolsonaro is against a gambling law. However, he must give his consent to each new law. The President's vote is unimportant only if a vote to that effect is obtained by the Senate. In this case, the opinion of the President can be overridden.
If the Senate agrees, it will take some time before there is a valid gambling law. This is partly due to the fact that there are still discussions about the details. As long as there is no agreement, there will be no law.
Kenya has also recently implemented a new gambling law, which has brought some changes and for exampleCasinos without a stake limit| ||120 nicht mehr ermöglicht.