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Brazil's Supreme Federal Court Confirms Suspension of Additional VAT Charges on Interstate Online Sales

|Approved Changes|Brazil
Brazil

On 17 September 2014, Brazil's Supreme Federal Court issued its decision confirming a preliminary decision earlier in the year that additional value-added tax (VAT) charges on interstate online sales is unconstitutional.

Under the federal constitution of Brazil, the interstate online sales of goods should be subject to VAT in the state of origin. However, 18 Brazilian states signed Protocol 21…

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