- Non-resident providers of digital services in Brazil will be liable for collecting new indirect taxes starting in 2026
- The new rules impact B2C and B2B transactions
- CBS and IBS will be payable based on the destination of the service consumed
- Non-residents will have to register for the new taxes and follow Brazilian Nota Fiscal e-invoicing obligations
- The consolidated rate will be approximately 26.5%, with a blend of CBS and IBS indirect taxes
- CBS and IBS replace four existing state and federal taxes by 2033
- Digital platforms and marketplaces will also be liable for CBS and IBS collections if they are responsible for certain elements such as setting T&C’s, payments, or delivery.
Source: vatcalc.com
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.
