Brazil tax crackdown hits cigarette firms and phantom companies

Brazil’s state tax authority (Sefaz‑RJ) and the Institutional Security Office launched Operation Maçarico to investigate more than 70 companies suspected of issuing fraudulent invoices. In its first phase, auditors inspected 15 firms that had generated about R$300 million in spurious notes this year, including businesses in the beverage, cigarette and fuel sectors. The entities, often called “noteiras,” exist only on paper, lack real economic activity and are used to hide illicit merchandise and create false tax credits. Authorities will suspend their state registrations, barring them from buying products or issuing sales invoices until they regularize their situation.

Separately, the Federal Revenue Service published its first list of persistent large debtors, spotlighting two cigarette companies with combined debts exceeding R$25 billion. The list also includes 61 fuel firms owing R$30.6 billion. Companies placed on the list face severe sanctions such as CNPJ cancellation, inclusion in credit restriction registries and loss of tax benefits, aiming to curb repeated tax evasion.

Both actions reflect a broader fiscal strategy to combat tax fraud and enforce compliance among large corporate players in Brazil.