Federal deputy Hildo Rocha (MDB-MA) explained that the Selective Tax, also known as the “Sin Tax” in Brazil, has no collection objective. “It is designed to tax those products that are harmful to health and the environment. We understand that gambling is harmful to health,” he said.
The text is not yet final and is now entering the negotiation phase with party leaders and benches in the Chamber of Deputies.
The expectation is that these negotiations will continue until next week. President Arthur Lira’s intention is for the text to be voted on in the Plenary between Wednesday (10) and Thursday (11).
Inclusion could be even greater if the National Congress legalizes gambling, such as casinos, bingos and jogo do bicho.
The project to legalize this type of betting is under analysis in the Senate. The idea of ??the Tax Reform GT is that any kind of gambling, in person or online, is taxed at the highest rate.
The main point of the reform is the unification of five taxes currently charged in the country (ICMS, ISS, IPI, PIS and Cofins), which will give rise to the dual Value Added Tax (VAT), with two collection fronts (federal CBS and IBS subnational), and the Selective Tax (IS), better known as the “sin tax” in Brazil.
Source: GMB