Tax reform: pharmaceutical sector wants to postpone and cites scarcity
Pharmaceutical sector asks for postponement of tax reform to avoid drug shortages. Read in Gazeta do Povo.
TL;DR
- Brazilian pharmaceutical entities are warning Congress of a concrete risk of drug shortages nationwide starting in 2027.
- They are requesting a postponement of at least one year for central aspects of the consumption tax reform implementation.
- The main concern is the operational uncertainty surrounding the new Contribuição sobre Bens e Serviços (CBS) tax, which replaces PIS and Cofins.
- Delays in regulatory definitions, especially the CBS reference rate, prevent necessary updates to accounting, logistics, and IT systems.
- The sector warns that potential rejection of tax documents or system failures could halt the circulation of medicines, impacting public health.
- The pharmaceutical industry faces complex transitional challenges, including state price controls, reduced margins, strict expiration dates, and a wide distribution network.
- Key regulatory steps, including complementary law voting and executive decrees on tax issuance rules, are still pending.
- Industry and retail stakeholders state that the current timeline is unviable for corporate system adaptation.