Brazil Tax Updates: Lucro Presumido, Import Duties, Non-Profits & More

Recent changes in Brazil's federal tax framework have raised an important point of attention for companies taxed under the Presumed Profit (Lucro Presumido) regime.

Complementary Law No. 224/2025 introduced several relevant changes to federal taxation. One of the most notable concerns the increase in the presumed profit percentages, based on the assumption that the Presumed Profit regime constitutes a "tax benefit".

However, this premise is already being challenged before the courts. In mid-February 2026, the Federal Court of Rio de Janeiro granted an injunction suspending the application of the additional 10% increase on the IRPJ and CSLL presumed profit percentages for a company operating under the Presumed Profit regime.

The court also emphasized that, depending on a company's economic reality, the Presumed Profit regime may in some cases generate a higher tax burden than the Actual Profit (Lucro Real) regime, further undermining the argument that it represents a preferential tax treatment.

In February 2026, the Brazilian Federal Government increased import taxes on 1,252 products, mainly targeting technology goods, electronics, machinery and industrial equipment.

The new measures, implemented between February and March 2026, aim to protect domestic industry while also increasing federal revenues. Products that previously benefited from low tariffs or exemptions are now subject to new duty levels. The government expects the measure to generate approximately BRL 14 billion in additional revenue in 2026.

Recent legislative changes in Brazil have introduced important developments affecting the taxation of non-profit entities. Complementary Law No. 224/2025 established a framework for the reduction of federal tax benefits, which raised concerns among associations and other non-profit organizations that traditionally benefit from exemptions.

At the same time, the new framework reinforces the importance for non-profit organizations to strictly comply with legal requirements, including the non-distribution of profits, the proper use of resources for statutory purposes and adequate accounting records.

For associations and chambers of commerce operating in Brazil, these developments highlight the need to review their governance, revenue structure and tax compliance in order to ensure that their tax-exempt status remains fully protected under the new regulatory environment.

Brazil's economy recorded moderate growth in 2025, though it faced significant monetary tightening.

Indicator	Value (2025)	Assessment
GDP	~USD 2.0 trillion	Stable
Real GDP Growth	1.9%	Moderate
IPCA Inflation	4.62%	Near Upper Band
Selic Interest Rate (end-2025)	15.00%	Tight
Unemployment Rate (avg)	7.6%	Decade Low
Gross Public Debt / GDP	~79.5%	Elevated
FX Reserves	USD 355 billion	Strong
BRL / USD (avg range)	BRL 5.80 – 6.10	Depreciated
FDI Inflows	~USD 68 billion	Robust

Overall, Brazil closed 2025 with resilient growth and a strong labour market, but constrained by high interest rates and fiscal volatility. Foreign direct investment remained robust, driven by agribusiness, infrastructure, and the energy transition.

BPC Partners recently had the opportunity to participate in the Brazilian business TV program Mundo Empresarial, broadcast on RedeTV.

BPC Partners on Mundo Empresarial — RedeTV

The interview highlighted our work supporting international companies operating and investing in Brazil, particularly in the areas of tax, legal representation, accounting, payroll, due diligence and corporate advisory.

This media appearance reflects BPC Partners' ongoing commitment to sharing practical insights and contributing to the international business community in Brazil.