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Brazil’s sports ministry is stepping up calls for greater clarity on how betting tax money is handled, as concerns grow over whether the funds are reaching the right places.
Giovanni Rocco, the national secretary for sports betting and economic development, has suggested setting up a permanent committee made up of several government departments. The goal would be to keep track of betting revenues and ensure that the money allocated to sports bodies is transferred fairly and transparently.
His remarks came during a joint session between the ministries of sport and finance, alongside lawmakers discussing betting regulation. Rocco warned that betting companies have gained a strong foothold in Brazilian life and argued they owe something back to both sport and society.
Who gets what?
At the moment, a little over a third of all betting tax income goes into the sports sector. The ministry of sports takes the largest slice, while the rest is divided between Olympic and Paralympic committees, national sports associations, and groups covering everything from school to university sports. On paper, it looks like a broad spread — but not everyone is convinced the distribution is accurate.
Some in the sector say they receive funds but can’t be sure the amounts are correct, pointing to the lack of transparency in the process. Earlier this year, the Secretariat of Prizes and Bets opened a public consultation to look at how this money is allocated, in a bid to make the system run more smoothly.
Football’s heavy reliance
The debate also shines a light on football, which has become deeply tied to the betting industry. Of the 20 top-flight clubs, 18 now carry a betting sponsor. Some of these partnerships are enormous, with Flamengo’s recent BRL250 million ($45.9m) a year deal with Betano standing out as the biggest contract in Brazilian football history.
But that reliance is also making people nervous. Lawmakers are already moving to curb betting ads — proposals include banning commercials during live matches and preventing active players from appearing in them. If approved, such restrictions could reshape how clubs and bookmakers work together.
Finding the right balance
For officials, the challenge is finding a balance. The betting sector has become a major source of money for sports, but without proper oversight, there’s a risk the promised support doesn’t reach those who need it most. By pushing for stronger monitoring and more openness, the ministry hopes to secure both the financial stability of sports organizations and the integrity of the games themselves.
Source: igamingbusiness.com
