Aviation Coalition Protests Brazilian Tax Proposal | Aviation International News

Aviation Coalition Protests Brazilian Tax Proposal

The loss of a 30-year tax exemption from Brazilian import duties and other taxes would increase airlines’ tax burden by $955 million.

By Richard Pedicini • Contributor - South America

August 16, 2021

A broad coalition of aviation interests has issued a manifesto opposing the proposed loss of a 30-year exemption from Brazilian import duties and several other VAT-type assessments, which would raise the industry’s tax burden by an estimated $955 million. A legislative committee added the change to a broad tax reform bill promised during the presidential campaign. The taxes would apply to imports and sales in the domestic market for aircraft, spare parts, and maintenance services, and for import duties. Sixty percent of the cost would fall on airlines and cargo carriers, and the rest on general and agricultural aviation.

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