Brazil issues new tax-liability rules for banks and payment providers supporting unauthorized betting operators

Brazil’s Ministry of Finance has published Portaria No. 17.66, dated June 17, 2026, setting out how financial institutions, payment institutions, and payment initiators can be held jointly liable for taxes when they keep processing bets for operators that do not have authorization to operate in the country. For PSPs and acquiring teams, the useful part is simple: after formal notice, the clock starts ticking, and it is not a long clock.

1. Under the new rules, joint tax liability can arise when banks, payment companies, and payment initiators continue to allow or process transactions for fixed-odds betting companies that are operating without authorization under Law No. 14.790 of 2023, after receiving a formal and specific communication from the Ministry of Finance.
2. The notice will be sent jointly by the Secretariat of Prizes and Betting (SPA) and the Special Secretariat of the Federal Revenue of Brazil (RFB). Once the notification is received, institutions have 24 hours to adopt restrictive measures to prevent new transactions that could facilitate the irregular betting activity.
3. The notification must identify the non-compliant company and include the information needed to block transactions intended to place fixed-odds bets with irregular operators. In other words, this is not a vague “be careful” letter; it is designed to trigger action on specific flows.
4. The same framework also reaches individuals and legal entities that advertise or commercially promote betting operators without federal authorization. In those cases, the people promoting those brands and services may also be liable for the taxes generated by the irregular activity.
5. The Ministry says the measure strengthens coordinated enforcement against the illegal betting market by making it harder for unauthorized operators to use the financial system and payment rails, while also supporting tax collection and the integrity of the regulated betting market.

The SPA says it has kept up a permanent campaign against illegal betting offers and has had a technical cooperation agreement with Brazil’s National Telecommunications Agency (Anatel) since October 2024, which has already resulted in the blocking of more than 5