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Brazil Tightens Enforcement on Illegal Betting

Brazil’s Ministry of Finance has issued Ordinance No. 17.66 of June 17, 2026. This ordinance establishes procedures to enforce joint tax liability for financial institutions, payment providers, and payment scheme operators involved in transactions linked to unauthorized sports betting operators.

The regulation supports provisions under Complementary Law No. 224/2025 and aims to strengthen oversight of Brazil’s regulated betting market.

Financial service providers may face joint tax liability if they fail to block transactions with unauthorized betting operators. This applies after they receive formal notification from federal authorities.

Strict Notification Requirements

The enforcement process will be coordinated by the Secretariat of Prizes and Betting (SPA) and the Federal Revenue Service (RFB).

Following a formal notice, financial institutions must block new transactions involving the identified operator within 24 hours. The notification will contain the information necessary to identify the unauthorized company and related betting activities.

Failure to comply within the required timeframe may result in joint tax liability under the new framework.

The regulation also extends to individuals and organizations involved in promoting or advertising illegal betting operators. Consequently, this potentially exposes them to tax-related liabilities.

Strengthening the Regulated Market

The Ministry of Finance said the measure is designed to restrict unauthorized operators’ access to Brazil’s financial system. Furthermore, it reinforces the country’s regulated betting environment.

Authorities believe limiting access to payment infrastructure is one of the most effective ways to reduce illegal betting activity. In addition, it encourages consumers to use licensed operators.

The initiative also improves coordination between regulatory agencies. Additionally, it increases pressure on unauthorized operators by limiting both their financial and promotional channels.

Enforcement Results Continue to Grow

The Secretariat of Prizes and Betting reported that its cooperation agreement with the Brazilian National Telecommunications Agency (ANATEL) has resulted in the blocking of more than 50,000 illegal domains since October 2024.

Regulators have also taken action against illegal betting promotion by blocking 780 social media accounts. They have removed 306 advertising posts and restricted 190 unauthorized applications linked to illegal gambling activities.

Authorities continue to enhance monitoring systems. This includes the development of a virtual laboratory designed to accelerate the blocking of unauthorized betting platforms.

Self-Exclusion Program Expands

Brazil has also strengthened responsible gaming measures through its centralized self-exclusion platform, introduced in December 2025.

The system allows players to block access to all licensed betting operators through a single request. According to official data, more than 650,000 self-exclusion requests have been submitted since its launch.

New Decree Supports Asset Blocking

In addition to the ordinance, the government issued Decree No. 13.033 on June 18, 2026. This decree establishes procedures for blocking accounts associated with unauthorized betting operators.

The decree also outlines how information should be transferred to support forfeiture proceedings in favor of the federal government.

Together, the new measures represent another step in Brazil’s efforts to strengthen enforcement against illegal betting operators. They also support the long-term development of its regulated gaming market.

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