On December 2, 2025, The Brazil Senate Economic Affairs Committee (CAE) approved a gradual tax rise on gambling operators, which was approved with a 23 to 1 vote, and will...
Brazil’s Supreme Court bans municipal lotteries
Brazil’s Federal Supreme Court revealed on December 3, 2025, that operators of all municipal lotteries will be suspended after the Solidarity Party suggested the lotteries were going against betting regulations.
Marques stressed that municipalities don’t have the authority to legislate on matters of local interest on betting activities. He also introduced a $94,065 fine on operators who will provide betting at that level.
On the other hand, state lotteries will not be affected, as they are allowed to operate lottery activities within their territories.
Marques said:
“This situation, it seems to me, worthy of the attention of this Supreme Federal Court, presents an urgent scenario capable of causing not only the deepening of the alleged unconstitutionality, but also the aggravation of the scenario of legal uncertainty, considering the dissemination of institutional practice in the municipalities, the multiplicity of challenges, and the potential flexibility in the control and supervision of ongoing activities.”
Although municipal authorities argued that providing lottery activities could increase tax collection, the decision to shut them down seems to be final, as the preliminary suspension has already been applied.
The Secretariat of Prizes and Bets, the National Association of Games and Lotteries, and the National Telecommunications Agency will be the first to be notified of the changes so that they have time to adopt the appropriate measures.
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