Rules by country / Americas / Brazil selective tax 2027
Brazil sugar tax 2027: plan before the rate is set
Brazil's selective tax on sugary and sweetened drinks is due on 1 January 2027, but the rate had not been set in October 2026. We measure how your shoppers react to price, so your plan works at any rate.
Scenarios only: Brazil had not set the rate when we checked on 24 October 2026.
A sugar tax review for Brazil
A price plan that works at any rate, ready to act on as soon as the rate is published.
- The tax on every product at a range of possible rates
- Pass on, absorb or reformulate: the most profitable choice at each rate
- A price plan by pack and channel: supermarkets, wholesale and traditional stores
- An Excel model to plug in the real rate the day it's published
How your results look
| Product | At 10% | Our advice |
|---|---|---|
| Cola, 2 litres at R$ 9.00 | R$ 0.90 a bottle | Pass on in part |
| Guaraná, 350ml at R$ 4.00 | R$ 0.40 a can | Pass on in full |
| Juice drink, 1 litre at R$ 6.00 | R$ 0.60 a pack | Hold the price |
Fictional products. Every real result comes with the expected sales and profit, and a likely range.
Your options
Every option has a fixed price, agreed before we start.
Sugar tax review
- The tax and best choice for each product
- Price plan for each retailer
- Scenario model and a walk-through
Pricing review with the tax
- Everything in the tax review
- Prices and promotions for the whole range
- How your products take sales from each other
Portfolio review
- Everything in the pricing review
- More retailers and data sources
- A plan for each channel
After the project: a refresh before each pricing round, from £2,000 (about R$ 13,000). Prices are fixed in pounds sterling; amounts in reais are a guide at October 2026 exchange rates. We're based in the UK and work remotely, in English, under NDA.
How it works
From the first call to your plan in about three weeks.
A free 15-minute call
Tell us about your range. We say whether a review would pay for itself, and quote a fixed price.
Your data
Sales by product and retailer, recipes and costs. We sign an NDA before anything moves.
Your plan
The tax at each possible rate, the best choice and a price plan, walked through with your team.
Brazil selective tax: the detail
Open only what you need.
- Law
- Complementary Law 214/2025 created the selective tax (Imposto Seletivo)
- Covers
- Tobacco, alcoholic drinks, sugary drinks, vehicles, boats and aircraft, mineral extraction and betting
- Which drinks
- Soft drinks and waters with added sugar, sweeteners or flavourings
- Rate
- Set by a separate law or provisional measure. Not set when we checked on 24 October 2026; reports said it would come after the elections and roughly match today's IPI burden.
- Start
- Due 1 January 2027; a new tax can only be collected 90 days after it is published
- Cap
- Congress removed a proposed 2% cap for sugary drinks in December 2025
- Later
- Rates on sugary drinks step up from 2029 to 2033 as the state ICMS tax is phased out
Plan for a range
Know what each possible rate does to each product, so you can move the day it's set.
Don't count on swaps
The list covers drinks with sweeteners too, so switching may not avoid the tax.
Separate the effects
The selective tax arrives with Brazil's wider tax reform. Measure each change on its own.
When does Brazil's selective tax start?
It is due to start on 1 January 2027. The rate had not been set when we checked on 24 October 2026, and a late publication could delay collection.
What is the selective tax rate on sugary drinks?
Not set yet. The government said it would set the 2027 rates by provisional measure, and reports suggested they would roughly match today's IPI burden.
Are drinks with sweeteners covered?
The law's list covers soft drinks and waters with added sugar, sweeteners or flavourings, so drinks with sweeteners may be caught too.
Is there a cap on the rate?
No. Congress removed a proposed 2% cap for sugary drinks in December 2025.
How much does a sugar tax review cost?
A review of up to 10 products has a fixed price from £7,500 (about R$ 51,000) and takes about three weeks. For 11 to 50 products, a full pricing review costs around £17,500 (about R$ 120,000). It starts with a free 15-minute call.
Do you work with brands in Brazil?
Yes. We're based in the UK and work remotely and in English, under NDA. Prices are fixed in pounds sterling before we start, and the first step is a free 15-minute call.
- CRCSP, Imposto Seletivo news
- Contábeis, Imposto Seletivo: 2027 rates to be set by provisional measure
- Paraíba Business, selective tax rates still undefined and the measure delayed
Checked on 24 October 2026. Rules and rates change, so check the official source before making decisions. This page is not tax advice.