RIO DE JANEIRO, BRAZIL – The new shopping limit for duty free shops started to be valid from Wednesday, January 1st. Now, those returning from trips abroad can buy at airports US$1,000 (R$4,000) in products or the equivalent in another currency.
The previous limit was US$500. An ordinance, published by the Ministry of Economy in October, determined that the measure would be valid from 2020. Those who exceed the limit are subject to payment of the special taxation provided for by law.
Free shops or duty free shops are shops generally located in departure and arrival halls of airports where products are sold without the collection of charges and taxes, such as Import Tax, Tax on Industrialized Products (IPI), Social Integration Program (PIS) and Social Security Financing Contribution (Cofins).
The ordinance maintained the current limit of US$500 of the quota for purchases made outside the country and brought to Brazil in the luggage.
According to the Ministry of Economy, the estimated fiscal impact of the measure in 2020 will be R$ 62.64 million. In 2021, the estimated tax impact is R$72.1 million.