Lula Weighs Rolling Back ‘Blusinhas’ Tax as Congress Signals It May Go Along

Overview

• Lula has called the levy unnecessary and his team is discussing cutting or ending it to blunt the political damage before voters go to the polls.
• Deputy Átila Lira, who reported the measure in Congress, warned that lawmakers may accept a Planalto rollback in an election year.
• The economy ministry and groups like the textile retail association and the UGT union argue ending the charge would harm local stores, jobs, and fiscal targets.
• The policy is a 20% federal duty on online imports up to US$50, which with a typical 17% state ICMS pushes the total near 40% and is enforced through Receita’s Remessa Conforme program.
• Collections have risen to about R$5 billion a year as platforms collect tax at checkout, parcel volumes have fallen per Receita data, and a cut could make small imported purchases cheaper for lower-income buyers.