Consolidated increase in ICMS

On April 1st, a new ICMS rate of 20% came into force in 10 Brazilian states for goods imported by individuals, especially for purchases made through international e-commerce platforms.

 Nicknamed the "sweater tax", the measure stems from the states' adherence to a Confaz agreement, which authorizes collection even in direct transactions with the end consumer. The main argument is to promote a balance in the tax burden between domestic and imported products.

Although provided for in the rule, the measure has generated discussions about tax cumulativeness, increased costs for consumers and the impacts on companies that act as intermediaries or transport these goods, which may need to re-evaluate contracts and operational flows.

The implementation of this rate reflects an attempt to reconcile fiscal and political interests, the success of which will largely depend on the ability to adapt processes and promote transparent coordination between the parties involved.