Brazil drafts law to exempt seniors from vehicle tax on new car purchases

The Brazilian Chamber of Deputies is reviewing a bill that would allow people aged 60 or older to buy a new vehicle with zero IPI (Industrialized Products Tax) and up to a 30% discount. The measure limits the benefit to one car every five years, with a price ceiling of R$ 70,000, an engine size of up to 2 liters, and a requirement that the vehicle run on renewable fuel, hybrid, or electric technology. Eligible models would mainly be low‑cost compact cars such as the Fiat Mobi, Renault Kwid, Citroën C3, Fiat Argo and similar entrants.

If passed, the proposal would create a senior‑specific tax exemption similar to the existing one for persons with disabilities, but it still needs approval by the full Congress and presidential sanction before becoming law. Current Brazilian law does not provide an age‑based exemption for vehicle purchases.