Prepare your pocket and your wallet: VAT of (at least) 30% is coming
The Brazilian taxpayer is, above all, a strong one. The new tax on added value, which will be divided into the CBS (under federal authority) and the IBS (under state and municipal authority), should be close to 30%.
Brazil's new value-added tax, comprised of the federal CBS and state and municipal IBS, may reach nearly 30%. The Tribunal de Contas da União proposed a CBS rate of 11.3%, surpassing previous estimates of 9.21%. If combined with an estimated 18.7% IBS rate, Brazil would have the world's highest value-added tax, exceeding 27% in Hungary. The Senate has until December 15 to set the CBS rate, which will take effect in 2027, while the IBS will be implemented gradually starting in 2028.
Written by urgent.news from Brazil Journal's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
