- Brazil is implementing a historic tax reform, consolidating five consumption taxes into a dual VAT system (CBS and IBS), fundamentally changing tax calculation, collection, and reporting.
- The reform will significantly update Brazil’s advanced e-invoicing system, creating a single, integrated platform for all VAT-related transactions.
- Global companies, especially those providing digital services, must adapt their ERP and billing systems to new e-invoicing layouts, data fields, and validation rules.
- A new “split payment” mechanism will automate tax remittance at the invoice level, increasing the need for accurate, real-time data and system readiness.
- Multinational corporations are advised to conduct gap analyses and customise their systems to comply with the new requirements and avoid operational disruptions.
Source: rsm.global
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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