The Brazilian Supreme Court issued a decision on 21 August 2020 concerning whether the levy of the tax on manufactured products (IPI) on the resale of imported products is constitutional. The levy of IPI on the supply and importation of manufactured products is provided under article 153 of the Federal Constitution.
While the scope is not entirely clear under the Constitution, IPI regulations have imposed IPI on the first resale of imported products, including in cases where the importer do…