IMPORT TAX DUTY

Import Tariffs are clear but total taxes can add up to 75% for an importation!

Brief Summary – Import Tax Duty

Bringing products into Brazil and calculating tax import duties will normally need a local licensed shipping agent and an accountant to calculate the true real impact of all the taxes to be considered.

Below US$2500 you can use the Regime Tributacao Simplificada (RTS) which applies an average tarfiff tax of 60% on the value of goods + freight.

Above that value the local importer needs to use a licensed shipping agent and have a RADAR licence for importing.

Generally speaking most or all of the below taxes will be applied to the importation:
- Imposto de Importação (II) - Importation aliquot
- Imposto sobre Produtos Industrializados (IPI) - Tax on Industrializaed products
- ICMS+PIS+CONFINS
- State taxes for location of importation
- Substituição Tributaria - Most retail products need their tax to end-consumer paid upfront in the supply chain.

Import Tax Duty
CONTACT NOW
Import Tax Duty

20%

IPI Tax up to

Import Tax Duty

60%

Simplified Importation Tax

Import Tax Duty

6

Total Taxes Applied

Import Tax Duty

R$ 220.00

Siscomex Tax

How Import Duty is Calculated

The import tariffs will vary hugely depending on product. Below is a generic guide only.
Please note even a catalogue or samples have tax payable value when above US$50 in value!

Import Tax Duty

Select Tax Regime

The importing company will participate in specific tax regimes that will determine how much import duties are paid as a result. The tax aliquots will not vary but the net tax payable will:

MEI – SOLE PROPRIETOR
Nacional Simples – increasing tax rate based on turnover but no tax credits allowed. Limited to US$880 000 per year.
Lucro Presumido – predetermined tax rates and annual profit tax rate based on turnover irrespective of profit.
Lucro Real – Tax rates allow credit of value-added operations and annual profit based on real profit with tax rate up to 34%.

Import Tax Duty

Determine NCM code

The NCM code is the local name for the Harmonized System (HS) codes. A good shipping agent or AA RISK can determine this for you. Once you have the NCM code for the product the Importation Tax duty can be determined.

Consequently, all importations need to pay state and federal taxes as a sale to Brazil and will have the following taxes applied also:
ICMS – a type of VAT that varies from 7% to 21% depending on state and segment (alcohol and energy segments have higher tax rates for instance)
PIS and CONFINS – social taxes that go up to 9,25%
IPI – variable tax for Imported and Industrialized products
ST – Substituição Tributaria – special regime tax for retail or products that have high tax evasion

When providing Services these tax rates will depend on the local municipality ISS rates for that type of service. Which vary from 2% to 5% plus that company regime tax.

Import Tax Duty

Total Import Tariffs

The total import tariffs can now be determined considering the following

  • What Brazilian state is handling the importation?
  • Does the local importer tax regime allow for credits?
  • How many different HS code products are being considered?
  • Are the goods from MercoSul? – LATAM trade agreement
  • Does a regional tax benefit scheme apply?