The National Association of Games and Lotteries (ANJL) has issued a statement expressing its “extreme concern” regarding the recent proposal to double taxes on operators. The ANJL argues that this measure is not only badly timed but also fundamentally flawed, as it could adversely affect the regulated market and also lead to an increase in illegal gambling. The association emphasized the importance of maintaining a balanced approach to taxation in order to encourage growth while addressing public health concerns related to gambling addiction.
Categorising the measure as “technically misguided” the ANJL said that: “Doubling the rate on revenue encourages the growth of illegal gambling, compromises tax revenue, and threatens the sustainability of licensed operators, especially at a time when the regulated market is consolidating under the new regulatory framework.” The association also stated that the figure of “2 million gambling addicts” cited by deputy Lindbergh Farias, who put forward the bill, was “mistaken” and “fictitious.”
“The sector acknowledges the problem and adopts preventive measures, including betting limits, educational campaigns, and risk monitoring. In light of this, the ANJL believes that the bill lacks technical and social grounding and appears to be merely an attempt to divert attention from crucial discussions taking place in Congress. The association denounces measures that deter investments and jeopardize the credibility of the newly implemented regulation, a segment recognized by the government as strategic for the country’s development.”
In July while the government was considering raising taxes from 12 per cent to 18 per cent Gross Gaming Revenue (GGR) the ANJL warned that the country could lose more than R$ 2.8 billion. The biggest impact would be on concession fees, with projected losses of R$ 2.4 billion, as many operators would choose not to enter the Brazilian market. This would be complemented by a reduction of R$ 400 million due to deposits in federal public securities that companies would need to make as part of the legalization process the ANJL said at the time.
The post Plans to double tax rate “misguided” says ANJL appeared first on G3 Newswire.
The National Association of Games and Lotteries (ANJL) has issued a statement expressing its “extreme concern” regarding the recent proposal to double taxes on operators. The ANJL argues that this measure is not only badly timed but also fundamentally flawed, as it could adversely affect the regulated market and also lead to an increase in illegal…
The post Plans to double tax rate “misguided” says ANJL appeared first on G3 Newswire.