A Bill Aimed at Exempting Some Vehicles from the Payment of the Tax on the Ownership of Motor Vehicles (IPVA) Was Approved in the Federal Senate.
Today, the costs with the IPVA are among the highest when it comes to maintaining a vehicle. In this sense, a bill was proposed aiming to exempt some vehicles from this tax.
The bill in question was approved by the Senate on Wednesday (13) and is now going to the House of Representatives. There, the lawmakers will analyze the text and vote to approve it or not in the House.
Which Vehicles Are Affected
According to the bill proposed by Senator Cleitinho (Republicanos-MG), the idea is to exempt the payment of the IPVA for cars manufactured more than 20 years ago in Brazil. Before the vote in the Senate, the text received a favorable report from Senator Marcos Rogério (PL-RO) and, after going through the CCJ, it was sent for analysis by the Plenary.
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To the Senate portal, Cleitinho emphasized that the tax reform increased the incidence of the IPVA on watercraft and aircraft, but neglected to consider the growing fleet of old vehicles in Brazil.
Nowadays, according to a survey released by the National Union of the Automotive Vehicle Component Industry (Sindipeças), it is found that Brazil currently has the oldest fleet of vehicles since 1995.
In this sense, the survey showed that, considering only the years from 2020 to 2021, the number of cars over 20 years old increased from 2.5 million to 3.6 million.
The Reason for the Exemption: More Expensive Vehicles in Brazil
When defending the proposal, the senator highlighted the aging of the vehicle fleet in Brazil. According to him, this happened mainly due to the Covid-19 pandemic. This increase ended up causing the value of the IPVA to rise, both for new cars and for used ones.
“In light of this, the principles of fiscal justice and economic capacity require this Congress to take steps to ensure that these Brazilians can maintain ownership of their vehicles,” he said.
Moreover, the parliamentarian also pointed out that, among Brazilian states, only Minas Gerais, Pernambuco, and Santa Catarina will see a decrease in revenue since, in other federative units, there is already a forecast for exemption for vehicles over 20 years old.
Opposition to the PEC Aiming to Exempt the IPVA
The voting in the Senate was not unanimous. Senator Oriovisto Guimarães (Podemos), for example, advocated for a campaign to renew vehicles by the state instead of approving the law.
This occurs because, according to him, the exemption goes against what has been adopted by developed countries. “There are countries, like Japan, where the trend is the opposite. The older the car, the higher the tax,” he said.
In this sense, besides arguing that older cars are the ones that pollute the most, he highlights that these countries encourage purchases by giving benefits for the population to buy a newer car instead of keeping the old one.
“What is given is a benefit to sell the old car and buy a new one, with more modern technology that pollutes less. We would not be doing this,” the parliamentarian concluded. As mentioned, now the bill goes to the House. If approved without changes, the text will go for presidential sanction.

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