Brazil's Blusinhas Tax May Return in September

What is the 'Blusinhas Tax' and why does it matter?

Brazil temporarily eliminated the 20% import tax on international purchases under US$50 — a levy nicknamed the "blusinhas tax" (the "little blouses tax"). A provisional measure (MP) published on 12 May 2026 transferred authority to Finance Minister Dario Durigan to set import duty rates on international postal parcels, including zeroing the rate for orders up to US$50.

What happens if Congress does not vote on the measure?

The MP was extended by Senate President Davi Alcolumbre in early July, but it is only guaranteed until 8 September 2026. If Congress does not approve it — or pass alternative legislation — the Finance Minister loses the authority to keep the rate at zero, and the 20% tax automatically returns from 9 September 2026.

Where does the legislation stand right now?

As of the source date, the MP is still waiting for a joint congressional committee to issue a formal opinion. After that, it must pass both the Chamber of Deputies and the Senate. If the Senate amends the text, it returns to the Chamber for another vote — a lengthy process amid an active electoral season.

Does ICMS still apply?

Yes. Even while the federal import tax is zero, Brazilian states continue to charge ICMS (state sales tax) at rates between 17% and 20% on international orders. That charge is unaffected by the MP.

What happens in 2027?

Regardless of what Congress decides now, the taxation of sub-US$50 parcels will return in 2027 under a new federal consumption tax created as part of Brazil's broader tax reform. The rate has not yet been set; consultancy Roit estimates it at roughly 9.43%.

What sparked the debate?

Consumers opposed the blusinhas tax because it raised prices on affordable everyday items from platforms such as Shein and Shopee. Brazilian domestic retailers, however, argue that the exemption gives foreign platforms an unfair advantage and hurts local jobs, calling for "tax equality."