Brazil proposes tax parity for sports associations and SAFs

A proposed Constitutional Amendment (PEC 6/2026) in Brazil seeks to extend specific tax regimes to sports associations and non-profit sports organizations, aligning them with the taxation models currently used by Football Corporations (SAFs).

Presented by Senator Alan Rick and supported by a favorable report from Senator Carlos Portinho, the proposal is currently on the agenda of the Constitution and Justice Commission (CCJ). The amendment aims to modify Article 156-A of the Constitution to include these entities in the specific taxation regimes for the Goods and Services Tax (IBS) and the Social Contribution on Goods and Services (CBS), which were established by the 2023 tax reform.

The justification for the measure is to promote competitive balance and legal certainty by providing equal constitutional treatment to different legal organizational forms within the sports sector, particularly professional football. Senator Portinho noted that the associative model is vital for athlete development and social inclusion, arguing that the amendment strengthens the neutrality and constitutional protection of sports.