Solution · Tax Reform
Brazil's Tax Reform is a data problem. Treat it like one.
The transition to CBS and IBS changes the price, the credit and the margin of every transaction in your company — and it has already started. While the market debates the reform with sector averages and sample spreadsheets, Azets simulates the impact on your real data: product by product, transaction by transaction, supplier by supplier. Whoever sees their own numbers first, negotiates and decides first.
✓ 2026 is the test year: a 0.9% CBS and 0.1% IBS already appear on tax documents
What changes
Five taxes become three — and every rule changes with them
PIS, COFINS, ICMS, ISS and IPI give way to a dual VAT (federal CBS + state/municipal IBS) plus the Selective Tax. It is not just new acronyms — the entire mechanics change:
| Today | With the reform | |
|---|---|---|
| Taxes | PIS · COFINS · ICMS · ISS · IPI* | CBS · IBS · Selective Tax |
| Rates | Multiple, varying by state and municipality | Single standard rate per government level, charged at destination — with differentiated regimes (30%, 60% and zero-rate reductions) and specific regimes |
| Credits | Restricted non-cumulativity, different rules per tax | Broad non-cumulativity — except personal use and consumption |
| Tax base | Distinct criteria, tax on tax | Transaction value, tax charged separately |
| Collection | Computed and paid by the taxpayer | Split payment: tax may be withheld at financial settlement |
| Tax benefits | Fiscal war between states | Gradual extinction with a compensation fund — and a linear reduction of federal incentives already under way |
*The IPI is not extinguished: its rates are zeroed from 2027 and it remains only for products competing with those manufactured in the Manaus Free Trade Zone.
How we prepare your company
Five services, from the supplier map to parallel operations
Modules contracted together or separately — and they reinforce each other: with suppliers mapped and registrations cleaned, the impact simulation stops using averages and calculates the real credit of each transaction.
The foundation
We classify your supplier base — regime, transaction type, creditability — to identify the net price and the credit of each transaction under the new system. It is the input for renegotiation and what makes the simulation precise.
Registrations ready for the switch
Robots enrich and validate the item and supplier registrations against official sources — NCM, CEST (CONFAZ), CNAE and state registrations — with AI classifying the ambiguous cases and your tax team having the final say. The NCM defines which regime each product falls into.
Your number, not the sector average
We compare the current scenario (AS IS) against the new model (TO BE) across 100% of your transactions: tax burden by product, transaction and sector — including the effect on your tax incentives.
Recover before extinction
We review PIS/COFINS and ICMS bookkeeping to recover unused credits while the current taxes still exist — cash now and an organised balance for the transition.
Two regimes in parallel
We compute the test-year CBS/IBS (offsettable against PIS/COFINS), validate the highlights on tax documents and keep computations running in parallel throughout the transition.
What you receive
The whole reform covered — from study to operation
- Supplier map — net price and credit per transaction, with the highest-margin-impact renegotiations prioritised.
- AS IS × TO BE impact report — quantified by product, transaction and sector, on your real data.
- Tax incentive study — the effect of the gradual extinction of state benefits and the reduction of federal ones on your commercial decisions.
- Credits recovered before the switch — PIS/COFINS and ICMS reviewed across 100% of the bookkeeping, on a success-fee model.
- Test-year computations delivered — CBS/IBS computed, offset and validated on documents, with both regimes running in parallel on the platform.
- A clean item and supplier registry — NCM, CEST, CNAE and registrations validated against official sources; AI suggests on ambiguous cases, your tax team decides.
- A renegotiation plan — the supplier map translated into priorities for procurement and legal to review prices and contracts.
- Outsourcing adapted to the transition — for those who prefer to delegate: the entire tax routine operating both regimes on the Azets platform.
Frequently asked questions
Straight to the point
When does the reform take effect?
It already has. 2026 is the test year, with a 0.9% CBS and 0.1% IBS highlighted on tax documents. From 2027 the CBS replaces PIS and COFINS; between 2029 and 2032 ICMS and ISS are gradually replaced by the IBS; in 2033 the new system is fully in force. Throughout the transition, your company lives with two regimes at the same time.
Why map suppliers because of the reform?
Because in the new system credits are broad and the tax is charged separately: the real cost of every purchase becomes the net price — the amount paid minus the CBS/IBS credit the transaction generates. Suppliers under different regimes generate different credits. Mapping the base transaction by transaction shows where margin wins or loses and arms price and contract renegotiations before the switch. There is also a technical bonus: with the map done, the impact simulation stops using averages and calculates the real credit of each transaction.
What happens to my accumulated PIS/COFINS and ICMS credits?
Credit balances follow specific transition rules — and the 5-year statute of limitations keeps running. The best time to review 100% of the bookkeeping and recover unused credits is before the current taxes are extinguished: identified now, the credit becomes cash or offsetting; ignored, it expires. See Tax Credit Recovery.
Are my ERP and registrations ready?
The NF-e layouts have already gained reform-specific fields and validation rules, and computations will run under two regimes. Azets does not implement ERPs — it validates your data: registration clean-up (NCM, CST, CFOP), verification of the new document fields and parallel computations to catch divergences before the tax authorities do.
How does Azets charge?
By scope and outcome, defined from the diagnostic — not by the hour. If the work reveals credits to recover before the switch, that stream follows the success-fee model: you only pay after the money reaches your account.
Your post-reform margin is already written — in your data.
Book a diagnostic: we simulate the CBS/IBS impact on your real transactions and return the picture your reform committee needs to decide.
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