Data obtained through the Freedom of Information Act and compiled by Pay4Fun show that the federal government collected BRL4.17 billion ($834 million) in the first quarter of 2026 from gaming and betting. Of that total, more than BRL1.15 billion came from online fixed-odds betting, known as “bets”. 

“The data shows that betting already plays a significant role in both tax revenue and economic activity, generating more than BRL1.15 billion in the first quarter within a growing market,” says Leonardo Baptista, CEO and co-founder of Pay4Fun.

“This growth is directly linked to regulatory progress, which has brought greater transparency and predictability to the sector. The next step is to make progress in combatting the illegal market, which still accounts for a significant share, as well as to strengthen responsible gaming practices, user protection, and initiatives that curb the illegal market, to ensure that this growth occurs in a sustainable manner and in line with the public interest.”

Betting operators account for a growing share of revenue

Online sports betting already accounts for a significant portion of revenue. On its own, it generated approximately BRL1.15 billion in the quarter.

This amount is divided into three main categories:

  • Approximately BRL994.7 million in direct federal government funding
  • BRL142.3 million in revenue-based contributions
  • BRL12.8 million (USD 2.56 million) allocated to the healthcare sector

Total revenue declines over the quarter

The data shows a decline in total revenue over the months:

  • January: BRL2.07 billion
  • February: BRL1.08 billion
  • March: BRL1.01 billion

Despite the overall downturn, the performance of the operators followed a different trend:

  • January: about BRL368 million
  • February: about BRL443 million (quarterly peak)
  • March: about BRL338 million

In other words, while total revenue fell by half from January to February, online betting grew and reached its highest level the following month.

Other sources contribute to the total

In addition to betting revenues, the government also collected revenue from other sources within the sector:

  • BRL175.9 million in statute-barred amounts
  • BRL13.5 million from the Federal Lottery
  • BRL6.6 million from the Exclusive Instant Lottery
  • BRL6.2 million from the Sports Lottery

Original article: https://igamingbusiness.com/sports-betting/brazil-governments-collection-betting-q1/