- Brazil is set to launch a new VAT regime, with a likely minimum rate of 25.45% based on a VAT Gap of 10%, according to the Finance Minister.
- The new VAT will be composed of CBS, replacing federal consumption taxes, and IBS, replacing state and municipal taxes.
- The lower house of parliament has agreed to the implementation of the new taxes, which will include reduced and zero rates, plus exemptions.
- The proposal now moves to the Senate for voting and acceptance, changes or rejection. The headline rate may hit 28% following inclusion of the discounts.
Source vatcalc
Latest Posts in "Brazil"
- Brazil Proposes 7% Digital Services Tax to Modernize Tax System and Boost Infrastructure
- Brazil’s National E-Invoice Standard: Streamlining Compliance and Revenue Control by January 2026
- Will Brazil’s Tax Reform Make Taxation Simpler?
- Brazil unveils Tax Relief Measures to Support Exporters facing US Tariffs
- Brazil to Implement National Electronic Invoicing Standard for Services by 2026