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Brazil has the world’s largest tax burden on the Internet, ITU assesses

Brasil tem a maior carga tributária do mundo sobre internet, avalia UIT

The ITU – International Telecommunication Union released, in early December, the 2018 edition of the Measuring the Information Society Report, which confirms that Brazil has the world’s largest tax burden on fixed and mobile internet. The percentage of taxes in Brazil, according to the survey, is 40%, well above the world average, which is 16%. The study takes into account the tax burden of 162 countries.

Brasil tem a maior carga tributária do mundo sobre internet, avalia UIT
Brazil has the world’s largest tax burden on the internet, evaluates ITU – Grupo Avanzi

This tax burden represents a huge burden on the price of services, making it particularly difficult for people with lower incomes to access it. The telecommunications industry has long warned about the negative impact of the tax burden on consumers.

Users of telecommunications services collect about R $ 60 billion in taxes annually, which represents the payment of R $ 7 million per hour in taxes and fees. Only in sectoral funds, in 2017, were collected about $ 5 billion, and only 8% of these resources were used for the benefit of users of services.

The Brazilian tax burden has to be revised, especially for new services such as the Internet of Things, which will only expand in Brazil if taxes are cleared. These and other topics will be in the debates of the Telebrasil 2019 Panel, which will take place in Brasilia on May 21, 22 and 23, 2019.

Source: [Tele Brasil]

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