Brazilian states expand tax exemptions for taxi and rideshare drivers

The governor of Espírito Santo, Ricardo Ferraço, signed two decrees on 16 March that broaden the state’s ICMS exemption to include electric and hybrid vehicles purchased by taxi and rideshare drivers. The measures, the first of their kind in Brazil, aim to modernise the vehicle fleet, cut emissions and support drivers who use their vehicles as work tools. Under the new rules, eligible drivers can acquire zero‑kilometre vehicles with a 12 % ICMS rate and must meet criteria such as a minimum one‑year driving record and a limit of one vehicle per beneficiary.

In Maranhão, federal deputy‑substitute Ivan Júnior announced a public protest on 16 March calling for an IPVA exemption for rideshare drivers and minibus (lotação) operators. The rally, scheduled in front of the state legislature in São Luís, seeks a state law that would reduce tax costs for these professionals, who argue that high vehicle‑related taxes increase their operating expenses.