Brazil’s supermarket leader questions low betting taxes

João Galassi, President of the Brazilian Supermarket Association (ABRAS), has questioned why betting operators pay only 12% in taxes, while food items in the country are taxed at rates exceeding 34%.

“If bets are taxed at 12% while products like biscuits and butter face rates of 34.58% and 36.26%, why not raise betting taxes to a 50% ceiling using a selective tax?” he said. 

While Brazil’s Ministry of Finance has already announced plans to raise the tax on betting to 18%, Galassi argued that such a rate remains insufficient given the sector’s growth and societal impact.

He cited data suggesting that around 25 million Brazilians participate in online betting, with 86% in debt and 64% having negative credit records. According to Brazil’s Central Bank, monthly wagers amount to an estimated BR30bn.

Good to know: Brazil’s Ministry of Finance and the national banking federation have launched a joint financial education campaign targeting bettors to promote more informed choices

“We feed the world, but we also feed ourselves,” Galassi added in defence of Brazil’s agricultural business sector, stating that betting has more favourable taxation than the national food system.

Pedro Lupion, leader of the Parliamentary Front for Agribusiness, has also voiced concern over rising taxes and regulatory inconsistencies, pointing out that unregulated products like vapes face minimal oversight compared to heavily taxed legal sectors.

Carlos Mendez

Writer

Odds tell a story long before the result does. When bettors learn to read that story properly, betting becomes a matter of discipline and value rather than emotion or guesswork.

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