Business · Economy · 10 hrs ago
Brazilian toll operators warn tax changes could raise fares by 5%
Brazilian road concessionaires say tax changes could raise toll fares by about 5% from January 2027 if higher tax costs are passed on to drivers.
The warning covers the first stage of a tax reform that will change how taxes on goods and services are collected.
The estimate assumes an 8.8% rate for a new federal tax, while a separate preliminary proposal puts the rate at 11.3%.
No toll increase has been approved, and any change depends on decisions about individual concession contracts.
The transport regulator has proposed a temporary measure to compensate concessionaires for 60% of their estimated net tax impact, using toll revenue or funds held in concession accounts.
The final effect is still being calculated, including savings companies may get from the new tax system.
The tax transition will continue through 2032, with the new system fully in place in 2033, so further effects on toll costs may follow.
Brazilian road concessionaires say tax changes taking effect in 2027 could require toll fares to rise by about 5% if higher tax costs are passed on to road users.
The estimate was presented to the government by the Brazilian Association of Highway Concessionaires, known as ABCR.
No fare increase has been authorized, and any change will depend on decisions about individual contracts.
The estimate covers only the first phase of the tax reform, with further effects possible in later phases.
Brazil’s National Land Transport Agency has proposed temporarily compensating concessionaires for 60% of their calculated net impact.
- Who
- Brazilian road concessionaires, represented by ABCR, warned of the potential impact.
- What
- Tax changes could lead to toll fares rising by about 5% if higher costs are passed on to users. No increase has been authorized.
- When
- The changes are due to take effect on January 1, 2027.
- Where
- Brazil.
- Why
- Concessionaires say the new tax system could raise their tax costs and affect the finances set out in their contracts.
This story does not have two clearly opposing sides.
Brazil began a testing phase of the tax transition.
The Federal Court of Accounts presented a proposal for a CBS tax rate of 11.3% in 2027.
The next tax changes are due to take effect, including the CBS replacing PIS and Cofins.
The state ICMS and municipal ISS taxes are due to be gradually replaced by the IBS.
The new tax model is scheduled to be fully in force.
- Potential toll increase
- About 5%
- Tax changes begin
- January 1, 2027
- Concessionaires' association
- ABCR
- CBS rate used in simulations
- 8.8%
- Federal Court of Accounts proposal
- 11.3% CBS rate for 2027
- Temporary compensation proposed
- 60% of the net impact calculated by concessionaires
What people are saying
Esse percentual dialoga com aquilo que identificamos em nossos estudos, mas decorre só da primeira fase da reforma.
A tendência é que haja um impacto ainda maior, com alíquotas que podem alcançar até 30% ao final da implementação da reforma