Foods Are Exempt From Tax in SC: How This Measure Can Change Your Life. Decision by the Government of Santa Catarina Reduces the ICMS of the Basic Basket to Zero and Promises to Relieve Family Budgets.
Starting in September, foods are exempt from tax in Santa Catarina, providing direct relief for consumers. The measure announced by Governor Jorginho Mello reduces the ICMS rate from 7% to 0% on six items from the basic basket, including rice, beans, and various types of flour.
The initiative aims to reduce the cost of living for families while simultaneously boosting consumption in local commerce. According to the state government, the effects should be felt within the first ten days of October, when prices passed on to consumers will begin to drop.
What Changes for the Consumer in Santa Catarina
By determining that foods are exempt from tax, the state government bets on a direct impact on daily expenses. A simple example: a bag of rice currently sold for R$ 6 could be reduced to around R$ 5.58, maintaining the profit margin for commerce.
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This type of reduction may seem small at first glance, but in monthly purchases it can represent significant savings for low- and middle-income families. Moreover, the ICMS exemption is expected to stimulate consumption, benefiting commerce and even generating jobs in the food sector.
Which Products Will Have Zero Tax
The list of eligible foods consists of basic items that are present on most Brazilian tables. In Santa Catarina, the following products will have zero tax:
- Rice
- Beans
- Wheat Flour
- Corn Flour
- Yuca Flour
- Rice Flour
These foods represent the foundation of popular diets and, therefore, the exemption can have a direct effect on combating hunger and malnutrition in more vulnerable communities.
Economic and Social Impact of the Measure
The decision that foods are exempt from tax does not only benefit consumers. By reducing prices, the government also creates a more favorable environment for local commerce. Restaurants, markets, and bakeries are expected to see positive reflections in demand.
Experts emphasize that measures like these act as a dual stimulus: they relieve family budgets and stimulate the domestic economy. In a scenario where the cost of food weighs heavily on budgets, eliminating taxes on basic items can be crucial for improving the quality of life for the population.
When Does the Measure Take Effect
The exemption takes effect on September 1st, but the real price effects are expected to appear gradually. The government’s expectation is that by the second week of October, consumers will already notice the difference on supermarket shelves.
This fiscal policy, even if limited to Santa Catarina, can serve as an example for other states seeking alternatives to reduce social inequality and stimulate domestic consumption.
The announcement that foods are exempt from tax in Santa Catarina marks an important change for thousands of families. The measure can relieve budgets, combat hunger, and also boost regional commerce.
And you, do you believe other states should adopt the same initiative to reduce food costs? How does this change impact your daily life? Leave your opinion in the comments — we want to hear from those who experience this reality firsthand.

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