Factsheet: Tax incentives for ethanol-flex fuel vehicles

Tax incentives for ethanol-flex fuel vehicles

Key Information
Full name of Instrument & Measure (English): 
Tax incentives for ethanol-flex fuel vehicles
Description: 
Three taxes: IPI (Tax on Industrialized Products), PIS/COFINS (Contribution to the Social Integration Program/Contribution for Financing Social Security) and ICMS (State tax for circulation of goods and services) for different categories of vehicles are reported by the National Association of Motor Vehicle Manufacturers (ANFAVEA). Taxes on flex cars are lower than taxes on gasoline powered cars, especially with regard to the IPI.
Goal/Aim: 
Increase the share of renewable energy. Support biofuels and biobased products.

Status:

Trade Relevance: 
Policies with direct impact on imports/exports
Year Instrument & Measure Started: 
2004