Brazilian Finance Minister Fernando Haddad has confirmed gambling tax in the country will increase from 12% to 18% of GGR.The Brazilian Institute of Responsible Gaming or IBJR has spoken up about the increase in tax and said that this would result in the black market growing from 50% to 60%. Six of the largest gambling trade associations have also released a joint statement pointing out that the gambling sector has already contributed significantly to the country and to impose higher tax will be a burden.
Do you think that casinos would continue to want to operate in Brazil with these taxes? I am assuming that as a result, casinos would offer higher prices on their services as well due to the taxes and would most likely drive away customers. Would this eradicate the gambling sector altogether?
I don't think it'll hurt the casinos much less the Citizens, this won't be a big deal, maybe it will be for greedy people, but a win is a win, a loss is a loss, i don't think a 5% increment would do horribly. I can see why FM Fernando Haddad is thinking this way, it will surely pool more in for the Government, as long as they're not lining GOV official pockets, i'd say it's pretty fine to do such thing.
BUT, no more that 20%, over that would probably start riots.