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Brazil's Congress Installs Mixed Committee to Vote on Ending Low-Value Import Tax

The committee will decide on a provisional measure to eliminate the 20% tax on overseas purchases under US$50, a policy the Lula government calls a priority ahead of elections.

Brazil's Congress Installs Mixed Committee to Vote on Ending Low-Value Import Tax

Source: cnnbrasil.com.br

Brazil's Congress will install a mixed committee on Friday to analyse and vote on a provisional measure that would end the so‑called "taxa das blusinhas," a 20% import tax on overseas purchases valued at up to US$50. The measure, presented by the government of President Luiz Inácio Lula da Silva, aims to scrap the tax before it expires on September 8.

What the tax is

The tax was introduced in August 2024 under the Remessa Conforme program, which simplifies customs clearance for low‑value shipments. It applies a 20% levy on goods bought abroad that do not exceed US$50, affecting consumers who purchase items such as clothing, electronics and accessories from international retailers. The colloquial name "blusinhas" refers to the tax's impact on inexpensive apparel like blouses that are frequently bought online from abroad.

Government motivation

The Lula administration treats the repeal as a priority because the tax disproportionately affects lower‑income shoppers. Planalto says eliminating the levy will help the government arrive at the October 2026 general elections with the tax already zeroed, addressing a source of public discontent. A provisional measure (MP) in Brazil is a temporary decree that has the force of law but must be approved by Congress within a set period to remain valid; otherwise it lapses.

Congressional process

The mixed committee, composed of members from both the Chamber of Deputies and the Senate, will be chaired by federal deputy Reginaldo Lopes (PT‑MG). Senator Leila Barros (PDT‑DF) will serve as rapporteur. Both legislators are seeking re‑election and have expressed support for ending the tax. President Lula secured the committee’s swift installation after a luncheon with Chamber President Hugo Motta (Republicanos‑PB) and Senate President Davi Alcolumbre (União‑AP). The move places the provisional measure on the fast‑track agenda reserved for concentrated effort between August 31 and September 4, the final week lawmakers will vote on legislation before the election period.

Opposition signals

Although the tax originated from a congressional agreement, there are indications that part of the opposition may back the government’s move. In a May interview, the leader of the opposition in the Chamber, Cabo Gilberto Silva, described the repeal as a "great victory" and characterized the Lula government’s reversal as a "totally electoral" measure tied to the election calendar. He argued that Lula’s original support for the tax and subsequent withdrawal are driven by electoral timing rather than policy conviction.

Timeline

The provisional measure loses legal force if not approved by Congress by September 8. The mixed committee has pledged to conclude its vote before that deadline, leaving little room for amendments or extended debate. If the measure is approved by the committee, it will still need to pass plenary votes in both the Chamber of Deputies and the Senate to become law.

Electoral context

The government’s push to end the tax coincides with the "esforço concentrado" period, when Congress concentrates its voting schedule in the weeks leading up to the October elections. By targeting the tax for repeal now, the administration aims to deliver a tangible benefit to voters before they cast their ballots.

Accessed on: 28 August 2026

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