- Brazilian National Congress approves law regulating indirect tax reform
- The law, known as Project of Complementary Law (PLP) 68/24, was passed by the Chamber of Deputies after modifications from the Senate
- The law now awaits presidential approval
- The law details tax regimes including reductions or exemptions, cashback for low-income consumers, international online purchases, and linking payment mechanisms with the tax collection system
- The law aims to reduce the overall tax burden by 0.7% for all Brazilians
- Key changes include 100% CBS and 20% IBS tax returns on utility bills for low-income individuals, a maximum 0.25% tax rate for minerals, and a 30% tax reduction for domestic animal health plans
- Foreign tourists will receive tax refunds on products purchased in Brazil and carried in luggage
- The law maintains an 8.5% tax rate for Football Corporations (SAF)
- Exemptions for meats, fish, cheese, and salt were retained, while the tax on sugary drinks was reinstated
- Firearms and ammunition were excluded from the new selective tax, which will partially replace the IPI with lower rates
- The new cashback system will return taxes to low-income individuals, enhancing their financial support
Source: camara.leg.br
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.
