TLDR Brazil’s Ministry of Finance released Ordinance No. 17.66, targeting financial institutions that process payments for illegal betting operators. Banks and payment providers must block transactions within 24 hours of receiving formal notice or face joint tax liability. The rules also apply to advertisers and promoters of unauthorized betting platforms. Over 50,000 illegal domains have been blocked since a 2024 agreement with Brazil’s telecoms regulator. A centralized self-exclusion platform launched in December 2025 has received over 650,000 requests. Brazil Moves to Cut Off Illegal Betting Operators from Financial System
Brazil’s Ministry of Finance published Ordinance No. 17.66 on June 17, 2026. The ordinance sets out procedures for enforcing joint tax liability against financial institutions, payment providers, and payment scheme operators that process transactions for unauthorized sports betting companies.
The regulation builds on Complementary Law No. 224/2025, which was designed to strengthen oversight of Brazil’s licensed betting market.
Under the new rules, financial service providers must act fast. Once formally notified by authorities, they have 24 hours to block all new transactions with the flagged operator.
Failure to act within that window can result in joint tax liability — meaning the financial institution becomes legally responsible for taxes linked to the illegal betting activity.
The notification process will be coordinated between two government bodies: the Secretariat of Prizes and Betting and the Federal Revenue Service. Each notice will include the details needed to identify the unauthorized company.
Advertisers Also in the Crosshairs
The ordinance goes beyond banks and payment providers. It also covers individuals and organizations involved in advertising or promoting illegal betting operators.
Those found to be promoting unauthorized platforms can also face tax liability under the new provisions.
This is part of a broader government strategy to cut off illegal operators — both financially and in