Brazil tax actions: Minas Gerais firms get billions in ICMS exemptions as federal list flags major debtors

The Receita Federal released its first list of habitual tax defaulters, naming companies with debts above R$15 million. The tobacco and fuel sectors account for more than R$55 billion of the outstanding amounts.

In Minas Gerais, the state Treasury disclosed that ICMS tax exemptions granted to 20 companies represent roughly 40 % of the total value waived, amounting to R$7.3 billion for the 2025 fiscal year. The largest beneficiaries are Ambev (about R$1.5 billion), Stellantis (R$889 million), Souza Cruz (R$618 million), Unilever (R$584 million) and Mercado Libre (R$551 million). A related report lists the top five firms, whose combined exemptions total R$4.16 billion, about one‑fifth of the state's R$19.4 billion ICMS waivers.

The Minas Gerais State Finance Department (SEF/MG) began sending SMS alerts to roughly one million vehicle owners with unpaid IPVA for 2026, warning that debts may be registered and subject to protest. About 22.9 % of the state's 8.8 million registered vehicles have outstanding IPVA.

Additionally, the Zema administration disclosed a R$2.28 million ICMS discount granted to Eletrozema, a company linked to the former governor’s family, contributing to the near R$20 billion total of ICMS exemptions the state has foregone.