Ordinance MF No. 1,766/2026 Regulates Liability for Transactions and Advertising Related to Unauthorized Operators

On June 17, 2026, Ordinance MF No. 1,766/2026 was published, regulating the tax liability provisions set forth in Article 6 of Complementary Law No. 224/2025 in cases involving the unauthorized operation of fixed-odds betting activities.

Complementary Law No. 224/2025 established that the following parties may be held jointly liable with taxpayers for taxes levied on the operation of fixed-odds betting activities and on the receipt of net winnings derived therefrom: (i) financial institutions, payment institutions, and payment scheme providers that, after a formal and specific notice from the competent federal authority, fail to adopt restrictive measures within the applicable deadlines and consequently allow or process transactions intended to facilitate fixed-odds betting with legal entities that have not obtained authorization to operate fixed-odds betting under federal law; and (ii) individuals or legal entities that advertise or promote unauthorized fixed-odds betting operators.

The Ordinance now establishes the procedure for implementing this rule. Under its provisions, notifications to financial institutions, payment institutions, and payment scheme providers will be issued jointly by the Secretariat of Prizes and Bets (SPA) and the Brazilian Federal Revenue Service (RFB), informing the relevant institutions of operators identified as conducting fixed-odds betting activities in violation of federal law.

Once notified, the institution will have 24 hours to implement restrictive measures aimed at preventing further transactions related to the unauthorized activity. Failure to comply may result in joint liability for the taxes owed by the operator.

With respect to individuals or legal entities that advertise unauthorized operators, the Ordinance provides that liability applies regardless of prior notification.

In both cases, the Ordinance clarifies that tax liability will be formalized through administrative tax proceedings, ensuring the affected parties' rights to due process and a full defense, in accordance with applicable tax legislation.

The publication of the Ordinance represents another step in the implementation of the regulatory framework established by Complementary Law No. 224/2025 and highlights the coordinated efforts of SPA and the Federal Revenue Service to combat the illegal betting market. The measure also reinforces one of the key objectives of the sector's regulatory policy, which is to curb the activities of unauthorized operators and mitigate the loss of tax revenue associated with such activities.
Our team remains available to discuss any questions regarding the impacts of this new regulation.