Brazilian VAT Tax Reform: CBS and IBS regulations released

In brief

On April 30, 2026, the regulations pertaining to the Contribution on Goods and Services (CBS) and the Tax on Goods and Services (IBS) were officially published. Established as part of the Brazilian VAT Tax Reform, these taxes, while subject to distinct legal authorities, are governed by the same set of general rules.

• Issued by the Federal Government, Decree No. 12,955/2026 sets forth the Common Rules applicable to both CBS and IBS, as well as specific provisions applicable to the CBS due at the Federal level.
• Issued by the IBS Steering Committee, CGIBS Resolution No. 06/2026 establishes the Common Rules applicable to CBS and IBS and specific provisions related to IBS, due at the States, Municipalities and the Federal District.

The regulations establish the general framework for the application of the new taxes and supplement matters delegated by Supplementary Law No. 214/2025, which instituted CBS and IBS.

The Ministry of Finance, together with the IBS Steering Committee, later enacted Joint Ordinance MF/CGIBS No. 7/2026. This ordinance formally recognises provisions that are generally applicable to both IBS and CBS as outlined in each regulation.

Key takeaways

With the publication of the regulations, a significant step forward is expected in the implementation of the Brazilian VAT Tax Reform, providing greater clarity on the application of the new taxes and addressing issues that had generated uncertainty in the interpretation of Supplementary Law No. 214/2025.

In addition, the publication of the CBS and IBS regulations triggers the start of the deadline for the application of penalties related to the failure to include the new taxes in tax documents. According to Joint Act RFB/CGIBS No. 01/2025, penalties for noncompliance with ancillary obligations will apply as from August 1^st, 2026.