Brazil’s Congress Approves Tax Exemptions to Attract Data Center Investments
The bill exempts PIS, Cofins, IPI and import duties on servers and refrigeration to support investment in Brazil's data center sector.
- On Tuesday, Brazil's Congress approved a bill exempting data-center equipment from federal taxes, aiming to attract infrastructure projects to the country.
- The government previously issued an executive order on the matter in 2025, but the proposal expired this year after failing to receive a congressional vote.
- Exemptions include PIS, Cofins, IPI, and import duties on IT-related capital expenditures, specifically covering investments in servers and refrigeration equipment.
- Having passed the Senate following a prior greenlight from the lower house, the text now moves to President Luiz Inacio Lula da Silva for ratification.
- Minister for Institutional Relations Jose Guimaraes proposed the legislation this year, aiming to secure long-term tax certainty after the initial executive order lapsed.
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30 Articles
Senate Plenary Carlos Moura/Agency Senate The Senate Plenary approved the project that creates the Special Tax Regime for Datacenter Services (Redata), a system of tax incentives to stimulate the installation and expansion of data processing centers in the country. The text provides for the suspension of federal taxes on equipment in the sector and has estimated tax impact by the Federal Revenue in R$ 5.2 billion in 2026. Senators approved the p…
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Text has already passed through the House and now follows for presidential sanction
Brazil’s Congress approves tax exemptions to attract data center investments
BRASILIA, Sept 1 (Reuters) - Brazil's Congress on Tuesday approved a bill exempting data-center-related equipment from federal taxes, part of the government's plan to lure such projects to the country. • The Senate approved the bill on Tuesday, foll...
Brazil approves law linking data center incentives to renewable energy use - pv magazine Global
Brazil’s Senate has approved Redata, a tax incentive regime requiring data centers to meet their electricity demand with renewable or low-emission energy. The new provisions could boost demand for solar and wind projects, PPAs and self-generation as Brazil’s data center market expands. The post Brazil approves law linking data center incentives to renewable energy use appeared first on pv magazine Global.
The Senate approved on Tuesday (1o) the project that grants tax benefits to the data center sector in Brazil. The proposal provides for the exemption from import tax on equipment used in the manufacture and installation of structures, in addition to zeroing incidents taxes on the export of services from the sector. The objective of the measure is [...]
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