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country-icon Brazil

02.07.23

Overhaul of indirect tax regime

New governments often herald the introduction of widespread new fiscal policies. President Lula’s recent appointment in Brazil is expected to be synonymous with the introduction of colossal VAT reforms in Brazil. Arguably, this is needed- Brazil has one of the most complex indirect tax regimes in the world, and so a significant part of this change would be the simplification of the tax process in the country. Some proposals put forward as part of this simplification process include:
  • A sub-national VAT on goods and services
  • A second VAT tax at federal level.
E-invoicing momentum is accelerating in South America, and Tungsten is keeping abreast of e-invoicing developments in the region. We will closely monitor e-invoicing developments in Brazil.

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