State and Local Tax Updates

Federal

Federal Revenue Service updates customs valuation guidelines

On May 26, 2026, the Federal Revenue Service published a rule updating the provisions applicable to the declaration and control of the customs value of imported goods.

The rule incorporates new technical references prepared by the Technical Committee on Customs Valuation of the World Customs Organization. The incorporated documents include new explanatory notes, advisory opinions, and case studies, which now officially become part of the set of interpretative materials adopted by the Brazilian customs administration.

As a result, the Federal Revenue Service expands the guidance used to support the determination of customs value in import transactions.

The rule entered into force on the date of its publication in the Official Gazette of the Federal Government.

Federal Revenue Service establishes Painel Receita for consolidation and comparison of companies’ tax and economic indicators

On April 30, 2026, a rule was published establishing Painel Receita within the scope of the Special Secretariat of the Brazilian Federal Revenue Service.

The tool is a digital solution aimed at consolidating and making available companies’ tax and economic information, with the purpose of supporting business decision-making, promoting tax compliance, and enhancing transparency in the relationship between the tax administration and taxpayers.

Painel Receita allows companies to monitor their own performance indicators and compare them with aggregated data from other companies in the same economic sector, according to the National Classification of Economic Activities (CNAE), and of the same business size. The results are presented based on statistical criteria, subject to tax confidentiality and data protection rules.

Access to the tool is restricted to the company’s legal representative or a duly appointed attorney-in-fact. The rule also provides that Painel Receita does not apply to legal entities that are immune from or exempt from taxes.

The rule entered into force on the date of its publication in the Official Gazette of the Federal Government.

Federal Revenue Service defines monitoring rules and compliance seals under the Remessa Conforme Program

On May 14, 2026, a rule was published governing the monitoring of companies certified under the Remessa Conforme Program.

Monitoring will be conducted based on the analysis of the customs and tax behavior of certified companies, taking into account, among other elements, data on shipments destined for Brazil, certified websites and digital channels, complaints recorded in the Federal Revenue Service ombudsman systems, and the management of identified non-conformities.

The purpose of the monitoring is to continuously follow the level of compliance of certified companies, support customs and tax risk management, allow the Federal Revenue Service to act in risk situations, and foster preventive compliance measures.

Based on taxpayers’ performance, compliance seals may be granted, and their maintenance will be subject to compliance with specific criteria. The rule also governs administrative measures applicable in cases where the minimum indicator thresholds are not met, which may include warning notices, enhanced monitoring, or exclusion from the program.

The Ordinance entered into force on the date of its publication in the Official Gazette of the Federal Government.

Federal Revenue Service updates rules on IPI suspension in industrial and export transactions

On April 30, 2026, a rule was published governing the cases of IPI suspension provided for in the legislation.

The rule consolidates and details procedures applicable to domestic sales and imports carried out by industrial establishments. Among other matters, it addresses the suspension of IPI on the commercialization and importation of components, chassis, bodies, accessories, parts, and pieces intended for the production or assembly of self-propelled machines, equipment, and vehicles, as well as raw materials, intermediate products, and packaging materials used by manufacturers predominantly engaged in producing such goods.

Enjoyment of the suspension is conditioned upon compliance with requirements related to the destination of the goods, the predominance of the industrial activity, and the provision of information to the Federal Revenue Service, including by means of express statements to suppliers.

The rule also governs the IPI suspension applicable to manufacturers of parts and pieces intended for aircraft and spacecraft, producers of information and communication technology goods entitled to a financial credit provided by law, and predominantly exporting legal entities. In the latter case, it establishes objective criteria for characterization of predominance, prior registration procedures, rules for granting and cancelling registration, as well as cases for termination of the suspension.

The rule does not apply to legal entities opting for Simples Nacional nor, as a rule, to establishments deemed equivalent to industrial establishments, except in the cases expressly provided for in the legislation.

The rule entered into force on the date of its publication in the Official Gazette of the Federal Government.

Gecex-Camex reduces Import Tax to zero for 692 product

At the beginning of May, the decision taken at a meeting of the Executive Management Committee of the Chamber of Foreign Trade was disclosed, approving the reduction of the Import Tax to zero for 692 products.
The measure was accompanied by the approval of initiatives aimed at strengthening Brazilian industry, especially in the metallurgy, packaging, and electric battery production sectors.
Most of the tariff reductions cover capital goods and information technology and telecommunications goods, reaching items used in industrial processes and that do not have an equivalent domestic production.

Provisional Measure authorizes reduction to zero of the “small parcels tax”

On May 12, 2026, a Provisional Measure was published amending the legislation applicable to the simplified taxation of international postal shipments.

The measure authorizes the Ministry of Finance to reduce to zero the Import Tax rate levied on international shipments of up to USD 50, a levy that became widely known as the “small parcels tax,” and also allows the reduction of the rate applicable to shipments of up to USD 3,000, subject to the criteria provided for in the legislation and subordinate rules.

The measure produces effects as from the date of its publication, but it must still be reviewed by the National Congress within the applicable constitutional period, failing which it will lose effectiveness if not converted into law.

Federal Revenue Service allows future deduction of excess PIS and Cofins withheld at source

On May 15, 2026, the Federal Revenue Service published a private ruling regarding the possibility of using, in subsequent periods, the excess amount of PIS and Cofins withheld at source when full deduction of such contributions is not possible in the same tax calculation month.

According to the interpretation issued, PIS and Cofins amounts withheld at source that exceed the amount due in the relevant tax calculation period may be deducted in subsequent months, provided that the requirements set forth in the applicable legislation are met.

The private ruling clarifies that this possibility applies as from publication of the rule that consolidated the provisions on the calculation, collection, inspection, and assessment of PIS and Cofins. The interpretation also covers the accumulated balances existing on that date, relating to PIS and Cofins withholdings that could not be used in the original tax calculation month.

Chamber of Deputies approves proposal to prohibit “tax-inclusive” calculation of taxes

On May 22, 2026, the Finance and Taxation Committee of the Chamber of Deputies approved a proposal prohibiting inclusion of the tax itself in the calculation base on which it is calculated, a practice known as “tax-inclusive” calculation.

The measure seeks to prevent this calculation method from indirectly increasing the amount effectively borne by the consumer. The proposal covers federal, state, and municipal taxes, in cases where there is an express constitutional prohibition.

The approved text replaces a proposal that, in its original wording, dealt only with exclusion of ICMS from its own calculation base. Under the new wording, the proposal now has a broader scope, seeking to introduce into national tax legislation a general rule prohibiting inclusion of the amount of the tax itself in its own calculation base.

The proposal will still be reviewed by the Constitution and Justice and Citizenship Committee before proceeding to the plenary of the Chamber of Deputies. To become law, the text must also be approved by the Federal Senate.

Alagoas

Alagoas grants remission and amnesty of ICMS credits on inventory arising from the increase of the internal rate

O By means of a decree published on May 27, 2026, the State of Alagoas granted remission and amnesty of ICMS tax credits relating to the complement of the internal rate differential levied on the inventory of goods existing in taxpayers’ establishments at the end of March 31, 2026.

The benefit covers goods subject to the advance collection regime with closure of taxation and to the tax substitution regime, when the complement results from the increase of the internal rate enacted by state legislation.

The decree covers assessed and unassessed tax credits, whether or not enrolled in active debt collection, including those already subject to tax foreclosure proceedings. In practical terms, the measure removes the requirement to pay the additional tax relating to inventory affected by the increase of the internal rate.

Enjoyment of the benefit is conditioned on the taxpayer’s withdrawal from any lawsuits filed against the State of Alagoas concerning the matter. The decree further clarifies that the remission and amnesty do not grant any right to offset or refund amounts already paid.

The decree entered into force on the date of its publication.

Amapá

Amapá extends ICMS tax benefits and establishes governance, monitoring, and transparency guidelines

In a law published on May 20, 2026, the State of Amapá extended, through December 31, 2026, the effectiveness of ICMS tax and financial-tax benefits previously granted based on agreements entered into within the scope of Confaz.

Among the extended benefits are the ICMS exemption on the importation of medical and hospital equipment, the reduction of the tax calculation base on pay-TV services, and the reduction of the tax calculation base on internal transactions involving aviation kerosene and aviation gasoline.

The law clarifies that the extension does not imply the creation of new benefits, the expansion of existing incentives, or the institution of a new revenue waiver.

In addition, the extended benefits become subject to governance, monitoring, control, transparency, and results-assessment guidelines, to be regulated by the Executive Branch.

The law entered into force on the date of its publication, with the extended benefits remaining effective through December 31, 2026.

Ceará

Ceará defines cases for suspension or cancellation of the state registration of tax substitution taxpayers and taxpayers liable for the rate differential

By means of a rule published on May 26, 2026, the State of Ceará governed the cases for ex officio suspension or cancellation of the taxpayer’s registration with the General Register of the Finance Department, in the capacity of tax substitution taxpayer or taxpayer liable for the rate differential.

The rule authorizes adoption of the measure when the registered taxpayer fails to pay, in whole or in part, the ICMS due to the State for more than 60 days from the due date; fails to file, for at least two consecutive or alternating months, the Digital Tax Bookkeeping containing the ICMS-ST calculation records or the equivalent return applicable to Simples Nacional taxpayers; has debts enrolled in state active debt collection, including through partners or legal representatives; or is registered in the state delinquent taxpayer registry.

The possibility of suspension or cancellation is also provided for in cases equated to tax or registration irregularity, as well as by reasoned act of the Tax Administration, when maintenance of the regime is no longer justified for reasons of convenience, opportunity, or loss of trust.

In the case of debts enrolled in active debt collection or registration in the state delinquent taxpayer registry, the suspension or cancellation must be preceded by notification, with a 30-day period for regularization. Loss of the condition of tax substitution taxpayer does not prevent the exercise of the economic activity, but subjects the taxpayer to the ordinary collection system in transactions destined to the State.

The rule entered into force on the date of its publication.

Ceará governs cases of use of the DC-e for circulation of goods by non-ICMS taxpayers

By means of a decree published on May 25, 2026, the State of Ceará amended the state ICMS legislation regarding ancillary obligations to govern the use of the Electronic Content Declaration (Declaração de Conteúdo eletrônica – DC-e) in transactions involving the circulation of goods carried out by non-taxpayers of the tax.

The DC-e must be used to support the movement of personal-use items belonging to individuals, the transportation of animals not subject to ICMS, the movement of goods owned by legal entities that are not ICMS taxpayers, the circulation of goods in situations not subject to ICMS collection, and final-consumer sales carried out by Individual Microentrepreneurs (MEI).

In such cases, issuance of the Avulsa Electronic Invoice is waived.

Distrito Federal

Federal District publishes rules for characterization of habitual ICMS debtor and application of a special inspection regime

By means of a complementary law published on May 11, 2026, the Federal District established rules to identify taxpayers deemed habitual ICMS debtors and to subject them to a special inspection regime, with the purpose of curbing practices that may generate willful competitive imbalances in the market.

Under the terms of the law, a habitual debtor will be a taxpayer who systematically fails to pay the ICMS due and falls within at least one of the situations provided for in the rule, such as default on declared tax for six tax calculation periods, consecutive or not, within the preceding 12 months, the existence of debts enrolled in active debt collection above a threshold to be defined by the Federal District Revenue Service, or the maintenance of debts enrolled in active debt collection above BRL 1 million, provided that they also exceed certain percentages of net equity or of the value of the transactions carried out in the preceding 12 months.

The rule also clarifies that, for this purpose, debts with suspended enforceability or fully secured in court will not be taken into account.

In addition, the Federal District Revenue Service must publish, every four months, a nominal list of the identified habitual debtors, indicating the corporate name and the respective CNPJ, and the local Executive Branch may issue complementary normative acts to operationalize the provisions of the law.

The law entered into force on the date of its publication.

Florianópolis

Florianópolis expands cases of ex officio registration in the services providers registry

On May 14, 2026, the Municipality of Florianópolis published a decree to include a new case of ex officio registration in the Municipal Registry of Service Providers of Any Nature (CPSQN).

With the amendment, the municipal tax authorities may ex officio register non-registered service providers when identifying them in a tax inspection action or based on data from the National Data Environment of the Electronic Services Invoice (NFS-e), in cases where occurrence of an ISS taxable event in the municipality is identified.

Ex officio registration will now occur immediately, without the need for prior notice, and the service provider must complete its registration data within 30 days, through the City Hall portal or in person at a Pró-Cidadão unit.

Goiás

Goiás grants ICMS taxable base reduction on the entry of goods and items destined for construction of electricity transmission lines

By means of a decree published on May 8, 2026, the State of Goiás granted an ICMS taxable base reduction on entry transactions involving goods and items destined for the installation and construction of electricity transmission lines.

The benefit applies at different percentages, depending on the origin of the goods or items. The reduction covers imports of goods without a domestic equivalent, provided that this condition is certified by a competent federal body or a representative industry entity, as well as interstate acquisitions subject to rates of 4%, 7%, or 12%.

The rule establishes that the benefit must be used in lieu of the appropriation of any other credits related to the acquisition of goods or items or to the use of transportation or communication services.

In addition, enjoyment of the benefit is conditioned upon withdrawal from any and all appeals, objections, or lawsuits challenging the levy or collection of the taxes due on the transactions covered by the measure.

The benefit was granted for a fixed term, remaining in force through December 31, 2028.

Manaus

Manaus regulates adhesion-based tax settlement of tax debts enrolled in active debt collection

On May 19, 2026, the Municipality of Manaus published a public notice establishing the requirements and conditions for adhesion-based tax settlement of tax credits enrolled in active debt collection.

The measure covers IPTU, ISS, ISS withheld at source, penalties for violations of tax legislation, business operation verification fee, and location fee debts.

Adhesion may be formalized between May 20, 2026 and August 20, 2026, with the possibility of payment in a lump sum or in up to 60 monthly installments. The public notice provides for discounts on fines and late-payment interest, which may reach 100%, depending on the payment modality chosen.

Adhesion implies irrevocable and irreversible acknowledgment of the debt and withdrawal from judicial or administrative disputes relating to the settled debts.

The public notice entered into force on the date of its publication.

Minas Gerais

Minas Gerais discloses the amount of accumulated ICMS credit eligible for transfer in May 2026

By means of a Resolution published on May 6, 2026, the State of Minas Gerais disclosed the total amount of accumulated ICMS credit eligible for transfer, upon authorization under a special regime, for the month of May 2026.

Under the terms of the rule, the limit established for the period corresponds to BRL 6,000,000.00. The disclosure sets the volume of accumulated credit that may be transferred in the month, subject to the conditions and procedures applicable to the special regime.

The rule entered into force on the date of its publication.

Minas Gerais excludes Paraná from the tax substitution regime in transactions involving electronic, electrical, and household appliances

By means of a decree published on May 27, 2026, the State of Minas Gerais amended the scope of application of the tax substitution regime to exclude the State of Paraná from the list of federative units signatory to interstate transactions subject to the regime involving electronic, electrical, and household appliances.

As a result of the exclusion, the sender established in Paraná is no longer responsible for withholding ICMS-ST in transactions destined to taxpayers in Minas Gerais, and responsibility for payment of the tax due under the tax substitution regime is shifted to the recipient in Minas Gerais.

The decree entered into force on the date of its publication.

São Paulo

São Paulo amends rules on the issuance of tax documents in electricity transactions and clarifies their application in the Free Contracting Environment (ACL)

By means of an ordinance published on May 7, 2026, the State of São Paulo amended the rules governing compliance with ICMS obligations in transactions involving the circulation of electricity, particularly with respect to the indication of the issuance date of tax documents. The amendment consists primarily in replacing the reference to the last day of the relevant month with the indication of the actual issuance date of the tax document, subject to the deadline applicable to the month in which the taxable event of the transaction occurred. The change applies to different situations governed by the state rules, including tax documents issued by agents involved in electricity transactions.

In response to a tax ruling request subsequently published, the São Paulo State Finance Secretariat clarified the application of these rules to NF-es issued in electricity transactions within the Free Contracting Environment (Ambiente de Contratação Livre – ACL). According to the tax authorities’ interpretation, NF-es issued in this context must, as from October 1th, 2025, comply with the amendments introduced by the new rules.

The ruling also clarifies that, if the taxpayer issued tax documents in noncompliance with the rule currently in force, or failed to issue the applicable NF-es, regularization must be carried out through a voluntary disclosure filing.

The rule entered into force on the date of its publication and, as a rule, produces effects as from October 1th, 2025.

São Paulo excludes several electronic products from the tax substitution regime as from August 2026

On April 29, 2026, the State of São Paulo published an ordinance excluding several products in the construction materials and electrical and electronic goods segments, including household appliances, from the tax substitution regime.

Among the products excluded from the regime are vacuum cleaners, hair dryers, high-pressure washers, washing machines of up to 10 kg, and fans.

As a result of the exclusion of these goods from the regime, taxpayers must carry out an inventory count, observing the procedures provided for in the applicable state legislation.

The rule enters into force on August 1, 2026.

São Paulo warns of possible characterization of an autonomous establishment in commissioned import transactions involving habitual operations in the State

In response to a ruling request published on May 5, 2026, the Finance Secretariat of the State of São Paulo expressed its position on the incidence of ICMS in commissioned import transactions carried out by a trading company established in another federative unit, with customs clearance and physical entry of the goods into São Paulo territory.

The tax authority confirmed that, as a rule, in commissioned import transactions, Import ICMS is due to the State where the importer is established, as the legal recipient of the transaction, regardless of where customs clearance or physical entry of the goods occurs.

The response, however, emphasizes that this understanding is based on the premise that the importer does not have an establishment in São Paulo and does not habitually carry out operations in the State.

Should the importer habitually perform import, warehousing, and sale of goods transactions in São Paulo territory, the existence of an autonomous establishment in São Paulo may be characterized.

In such case, the importer may be considered a habitual ICMS taxpayer in the State, becoming subject to São Paulo tax legislation and the respective principal and ancillary obligations, including the need to register in the state taxpayers’ registry.

The statement also reinforces that, in import transactions, form should not prevail over substance, and that it is relevant to assess the type of import and the legal and material role performed by the establishments involved.

São Paulo changes MDF-e rules and begins requiring issuance by unloading State and CIOT information

In an ordinance published on May 12, 2026, the State of São Paulo amended the rules governing issuance of the Electronic Manifest of Tax Documents (MDF-e), in order to establish new rules for issuance of the document and completion of mandatory information.

According to the new wording, as from June 1, 2026, a separate MDF-e must be issued for each unloading federative unit, grouping, in each document, the loads destined for the respective federative unit.

The rule also began to provide, on an exceptional basis, for the possibility of issuing more than one MDF-e for the same federative unit when the transportation simultaneously involves own cargo and third-party cargo, or when it is carried out by an autonomous carrier hired by different companies.

In addition, completion of the information group relating to the Transport Operation Identification Code (CIOT) in the MDF-e becomes mandatory in road cargo transportation services performed on behalf of third parties and for remuneration, subject to the applicable validation rules.

The ordinance enters into force on June 1, 2026.

São Paulo preserves ICMS tax benefits conditioned on federal tax relief

By means of a decree published on May 8, 2026, the State of São Paulo amended the ICMS Regulation to include a specific rule on preservation of tax benefits conditioned upon the existence of exemption from or reduction of the burden of federal taxes.

According to the new rule, the conditions provided for in agreements entered into within the scope of Confaz requiring exemption from or reduction of the burden of federal taxes are deemed to be met, provided that any non-compliance results from the linear reduction of federal tax incentives applicable in 2026.

In practical terms, the amendment seeks to avoid the indirect loss of state ICMS benefits whose enjoyment depends on a related federal benefit as a consequence of the reduction of federal tax incentives.

The decree also clarifies that the new rule does not authorize the refund or offset of amounts already paid. Thus, the measure is intended to prospectively safeguard enjoyment of state benefits in the cases covered by the rule.

The rule entered into force on the date of its publication, producing effects from January 1, 2026 through December 31, 2026.

São Paulo clarifies that transactions involving BESS classified under NCM code 8504.40.40 are subject to the tax substitution regime

In response to a tax ruling published on May 21, 2026, the Finance Secretariat of the State of São Paulo concluded that internal transactions destined to taxpayers in São Paulo involving uninterruptible power supply equipment, or BESS (Battery Energy Storage System), classified under NCM code 8504.40.40, are subject to the ICMS tax substitution regime.

The tax authority reiterated that subjection to the regime presupposes cumulative classification of the good under the description and tax classification provided for in São Paulo legislation. In this case, the tax classification indicated by the taxpayer corresponds to the description of uninterruptible power supply equipment, also known as UPS or no-breaks, set forth in the legislation applicable to tax substitution.

Thus, according to the tax authorities’ understanding, the commercial denomination of the product as an energy storage system does not remove incidence of the tax substitution regime, provided that classification under NCM code 8504.40.40 is correct.

Pará

Pará preserves ICMS tax benefits affected by the reduction of federal incentives

By means of a decree published on April 30, 2026, the State of Pará amended the ICMS Regulation to apply, during fiscal year 2026, rules relating to conditions involving exemption from or reduction of the burden of federal taxes linked to state tax benefits.

The act deems certain conditions provided for in ICMS agreements relating to exemption from or reduction of the federal tax burden to be met when non-compliance results from the reduction of federal incentives and benefits enacted by the legislation applicable in 2026.

In practical terms, the amendment prevents companies from automatically losing ICMS tax benefits solely because the federal tax relief required as a condition was reduced. Thus, when a state benefit is linked to maintenance of a given federal benefit, the reduction enacted by federal legislation does not, in itself, prevent enjoyment of the ICMS benefit in the State of Pará.

Pará includes NF3e among mandatory electronic tax documents

On May 12, 2026, the Finance Secretariat of the State of Pará amended the rules governing accreditation of taxpayers for issuance of electronic tax documents, according to CNAE, to include the Electronic Electric Energy Invoice (NF3e), model 66, among the documents that are mandatory for certain sectors.

The amendment applies to taxpayers engaged in electricity generation, transmission, wholesale trade, and distribution activities, by updating the list of activities subject to mandatory issuance.

Accordingly, companies classified under the respective CNAEs must comply with the mandatory issuance of the NF3e, since the act became effective immediately.

Paraíba

Paraíba changes the rule on liability for ICMS in network capacity assignment

A decree published on May 7, 2026 updated the rules on liability for collection of the ICMS levied on network capacity assignment to the service provider that serves the final user. The amendment is linked to ICMS Agreement No. 49/2026, which governs the granting of a special regime for network capacity assignment between telecommunications companies and establishes specific procedures for compliance with the tax obligation in such transactions.

Accordingly, the liable taxpayer must issue, in the month following that in which the transaction occurred, the Electronic Invoice-Bill for Communication Services, model 62, using the Item Code (cClass) applicable to that tax document.

Rio de Janeiro

Rio de Janeiro adjusts rules of the national NFS-e and ISS collection

A normative act published on May 7, 2026 amended procedures related to the national standard Electronic Services Invoice in the Municipality of Rio de Janeiro.

Among the main changes, particular emphasis should be given to the end, as from May 1, 2026, of the contingency regime previously applicable. For taxable events occurring as from that date, the ISS collection slip must be mandatorily issued through the municipal system, based on the information shared by the National NFS-e Environment.

Accordingly, service providers and service recipients must observe the resumption of the regular calculation and collection flow, without prejudice to the need to file returns in specific situations, such as importation of services, services with ISS withholding not indicated in the NFS-e, failure by the provider to issue the invoice, or failure by the municipality of origin to share the information.

The act also preserves contingency treatment for taxable events occurring between January 1, 2026 and April 30, 2026, which is relevant information for companies that need to review ancillary obligations, payments, and tax controls relating to ISS.

Rio de Janeiro includes vehicles and aircraft in the differentiated ICMS regime for the wholesale sector

By means of a rule published on May 21, 2026, the State of Rio de Janeiro expanded the differentiated taxation regime applicable to the wholesale sector to include motor vehicles, electric vehicles, buses, electric buses, and aircraft among the goods covered by the incentive.

In general terms, the differentiated regime applicable to the wholesale sector provides for the granting of deemed credit and deferral of ICMS, in addition to attribution of the status of tax substitution taxpayer to wholesale traders.

In internal transactions carried out by wholesalers involving such vehicles and aircraft, the ICMS rate will be 12%, already including the surcharge destined to the state fund for combating poverty.

The amendment enters into force on June 1, 2026 and will produce effects through December 31, 2032.

Rio de Janeiro establishes RIOCOMEX

On May 21, 2026, the State of Rio de Janeiro established RIOCOMEX, a differentiated ICMS taxation regime aimed at establishments engaged in foreign trade and located in the State.

The new regime was established through partial adhesion to tax incentives granted by the State of Espírito Santo, in line with the mechanism for adhesion to tax benefits validated within the scope of Confaz. The measure seeks to bring the tax treatment in Rio de Janeiro closer to that adopted by other relevant federative units in foreign trade transactions.

RIOCOMEX includes ICMS benefits such as deferral, deemed credit, and tax base reduction in certain transactions, with the purpose of stimulating customs-related activity and increasing the State’s participation in import transactions.

In addition, foreign trade establishments already qualified under the differentiated taxation regime applicable to the wholesale sector may automatically migrate to RIOCOMEX, upon communication to the State Finance Secretariat of Rio de Janeiro.

The law establishing RIOCOMEX enters into force on June 1, 2026 and will produce effects through December 31, 2032.

Rio Grande do Norte

Rio Grande do Norte adjusts ICMS payment deadlines

On May 12, 2026, the State of Rio Grande do Norte introduced amendments to the ICMS Regulation relating to ICMS payment by companies operating in specific sectors.

For companies engaged in oil and natural gas extraction, manufacture of derivatives, provision of communication services, and supply of electricity and piped natural water, payment of a percentage not lower than 90% of the tax due in the previous month must be brought forward to the business day immediately preceding the due date when the due date falls on a Saturday, Sunday, holiday, or day without banking hours.

The waiver of advance ICMS payment on outbound transactions carried out by industrial establishments producing hydrated fuel ethanol was also extended through April 30, 2027.

Rio Grande do Sul

Rio Grande do Sul adjusts rules for maintenance of deemed credit by manufacturers

On May 25, 2026, Rio Grande do Sul published a decree amending the ICMS Regulation to revise the conditions for appropriation of deemed credit by manufacturers of food products, perfumes, and cosmetics. The amendment specifically governs the minimum ICMS payment threshold for continued enjoyment of the incentive.

The annual minimum payment corresponds to a tax burden of 1.5% on gross revenue, according to criteria to be detailed by the State Revenue Service. If the amount actually paid in the calendar year is below the required minimum, the taxpayer must pay the difference, and use of the benefit will remain suspended until full regularization of the debt.

The new decree enters into force on the date of its publication.

Rio Grande do Sul waives federal conditions for ICMS tax benefits in 2026

On May 25, 2026, Rio Grande do Sul published a decree amending the ICMS Regulation to deem fulfilled, during fiscal year 2026, conditions linked to exemption from or reduction of the burden of federal taxes in ICMS tax benefits.

The measure covers exemptions relating to medicines, health-related products, taxis, goods linked to a special customs regime, the Popular Pharmacy Program, broadcasting, as well as transactions carried out by manufacturing industrial establishments destined to the Ministry of Defense and its bodies.

The decree waives, during 2026, compliance with such conditions for maintenance of the ICMS exemption or tax base reduction in the transactions indicated.

The decree entered into force on the date of its publication, with retroactive effects as from January 1, 2026.

Rio Grande do Sul regulates electronic tax document for piped gas transactions

On May 25, 2026, Rio Grande do Sul published a decree amending the ICMS Regulation to incorporate rules concerning the Electronic Gas Invoice (NFGas) and the respective DANFGas. Issuance of the NFGas will become mandatory as from November 3, 2026 in transactions involving piped gas distributed through urban networks, and it must include all charges billed to recipients.

The decree entered into force on the date of its publication, with effects as from November 3, 2026.

Rio Grande do Sul begins requiring indication of accountant in the taxpayers’ registry

On May 21, 2026, the State of Rio Grande do Sul published a decree amending the ICMS Regulation to include the mandatory indication of the accountant responsible for the tax bookkeeping of taxpayers registered in the General Register of State Taxpayers (CGC/TE).

The responsible accountant must be indicated upon registration and within 30 days whenever there is a replacement of the previously indicated accountant.

The amendment also applies to taxpayers already registered, which must inform the responsible accountant by July 1, 2026.

The amendment entered into force on the date of its publication.

Santa Catarina

Santa Catarina removes restrictions on the use of deemed ICMS credit

On May 13, 2026, the State of Santa Catarina published an ordinance defining which deemed ICMS credits may continue to be used even in situations that would, as a rule, restrict their use, such as the existence of debts before the state tax authorities or pending filing of the ICMS and Economic Activity Return (DIME) and the Digital Tax Bookkeeping (EFD).

The measure covers deemed credits relating, among others, to poultry and swine slaughter products, cargo transportation, domestic air transportation, telecommunications, electricity, transactions involving Simples Nacional companies, supply of electricity to charitable hospital entities, and diesel oil destined for public transportation.

Accordingly, tax irregularities or failure to file ancillary obligations will not prevent use of such deemed credits.

The ordinance produces effects as from April 1, 2026.

Santa Catarina regulates ICMS tax substitution on electricity used for charging electric vehicles

A decree published on May 14, 2026 regulated, in the State of Santa Catarina, the possibility of assigning to electricity distributors responsibility for collection of the ICMS in electricity supply transactions destined for consumption at electric vehicle charging stations.

The measure derives from ICMS Agreement No. 182/2025, which governs the tax substitution regime applicable to circulation of electricity destined for consumption by electric vehicle charging stations, from production or importation through the final transaction, and allows adoption of a specific tax substitution model, subject to prior registration in the Tax Administration System (SAT).

In practical terms, the option will apply only to establishments operating exclusively as electric vehicle charging stations or, when inserted in other economic segments, that have exclusive metering of the electricity consumed at the stations.

The regulation also excludes stations participating in the Electric Energy Compensation System (SCEE). For purposes of calculation of the ICMS due under tax substitution, the tax base will consist of the value of the distributor’s own transaction plus a Value Added Margin (MVA) of 150%.

The decree produces effects as from its publication.

Tocantins

Tocantins begins requiring tax compliance for special ICMS regimes

In an Ordinance published on May 7, 2026, the State of Tocantins established that the granting, extension, amendment, or reactivation of special regimes relating to ICMS will depend on proof of the taxpayer’s tax compliance. For this purpose, the company must be current both with payment of principal obligations and with compliance with ancillary obligations before the state tax authorities.

Compliance will be certified by the Regional Tax Inspection Delegate by means of a specific form provided for in the normative act, without the need for signature when issuance occurs directly through the system of the Finance Secretariat of the State of Tocantins and printing is unnecessary.

The Ordinance entered into force on the date of its publication.

Tocantins grants ICMS deferral for vehicles powered by biogas, CNG, vehicular natural gas, and LNG

On May 15, 2026, the State of Tocantins amended the ICMS Regulation to include a new case of ICMS deferral, applicable to internal transactions involving vehicles powered by biogas or natural gas in compressed (CNG), vehicular (GNV), and liquefied (LNG) forms.

As a result of the amendment, payment of the ICMS that would otherwise be highlighted by the sender is deferred, and responsibility for its payment is assigned to the purchaser.

For such transactions, the requirements and conditions of the legislation must be observed, including issuance of the tax document without ICMS highlighted and with reference to the deferral rules in the Complementary Information field, according to the wording provided for in the legislation.

The deferral will be terminated, with immediate collection of the tax, should the asset be removed from fixed assets before the minimum depreciation period or be given a destination different from the intended effective use. Companies involved in such transactions should note that the tax document will not show the tax highlighted and must indicate, in the complementary information, reference to the deferral.

The amendment entered into force on the date of its publication.

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This publication is intended for informational purposes only and does not constitute legal advice. Our ​Indirect Tax​ team remains available to provide specific legal guidance tailored to your business needs.