Legislation

Ministry of Finance clarifies requirement for Brazilian partners in betting companies

Friday 07 de June 2024 / 12:00

bnldata.com.br

⏱ 1 min read

(Brasilia).- On Thursday afternoon (6), the Ministry of Finance's Prize and Betting Secretariat (SPA-MF) defined the interpretation of the requirement that the requesting legal entity have a Brazilian partner with at least 20 per cent of the share capital.

Ministry of Finance clarifies requirement for Brazilian partners in betting companies

On Thursday afternoon (6), the Ministry of Finance's Prize and Betting Secretariat (SPA in its original) defined the interpretation that will be applied in the authorisation process in relation to the provision that requires the applicant legal entity to have a Brazilian as a partner holding at least 20% of its share capital.

According to the SPA, the requirement to have a Brazilian as a partner holding at least 20% of the applicant legal entity's share capital can be fulfilled by the participation of both Brazilian natural persons and Brazilian legal entities. A Brazilian legal entity means a legal entity that is incorporated under Brazilian law and has its headquarters and administration in the country.

"The SPA's interpretation brings to an end a long cycle of discussion about meeting the requirement for Brazilian partners to participate in companies operating sports betting and online games. This requirement can now be met through subsidiary companies wholly owned by foreign partners, simplifying the rules on holding shareholdings,’ explains lawyer Luiz Felipe Maia.

Categoría:Legislation

Tags: Sin tags

País: Brazil

Región: South America