On May 25th, during Hospitalar 2023, ABIMED promoted an important discussion with the theme “Tax Reform: need and possible impacts for the segment of medical equipment and devices”. The panel took place in the space called Diálogos ABIMED, at the Expo São Paulo Arena, and gathered Gustavo Madi Rezende, director of LCA Consultoria Econômica; Nelson Machado, executive director of CCIF – Tax Citizenship Center; and Felipe Contreras Novaes, partner of Arbach & Farhat Advogados.

“Our country has an extremely high tax burden, and it is no different in the medical device industry, despite exemptions and agreements that contribute to a lower fee. With this load, however, it is impossible to compete in the international scenario that is being designed due to the pandemic,” said Fernando Silveira Filho, executive-president of ABIMED.

Machado explained the Tax Reform proposal, which modifies consumption taxes and was built on principles such as neutrality, simplicity, and non-cumulativeness. “We are not going to have the accumulation of taxes on products and services. In the process, there will be total relaxation in production and distribution.”

Rezende pointed out that taxation on the medical devices sector is quite complex. “It is impossible to know the exact tax burden on each product.” According to him, from a technical point of view, the whole world seeks the lowest possible tax rates, and the reform in Brazil seeks this alignment with the international experience.

Novaes explained that ABIMED defends that some items of the sector, considered strategic and essential for collective health, can be exempted via supplementary law.

Link to watch: https://www.youtube.com/watch?v=V4bsxMvrKeo&list=PLCHvYErZGHnWw3VQNmhqDsLPwI4w_1CkK&index=10