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Brazil Peugeot internet sales of cars exempt from VAT ICMS

  • VAT
  • 12 March 2013 | Richard Asquith

Brazil Peugeot internet sales of cars exempt from VAT ICMS

The Brazilian tax court had ruled that online sales of cars directly to consumers by manufacturers is not liable to Brazilian VAT ICMS charge.

Brazilian e-commerce VAT ICMS to follow EU

Peugeot Citroen had been selling its cars through its Brazilian website, cutting out car distribution companies.  Whilst sales through distributors is subject to ICMS, Peugeot argued that since the supply of the agent was removed via the website, ICMS was not due on internet sales.

The Sao Paulo court has agreed with this position.


VP Global Indirect Tax
Richard Asquith
VP Global Indirect Tax Richard Asquith
Richard Asquith is VP Global Indirect Tax at Avalara, helping businesses understand their compliance obligations as they grow globally. He is part of the European leadership team which this year won International Tax Review's Tax Technology Firm of the Year. Richard qualified as an accountant with KPMG in the UK, and went on to work in Hungary, Russia and France with EY.