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The Federal Senate has approved an IPVA exemption for certain motorcycles in Brazil; see what

  • May 6, 2022
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The Senate Committee on Economic Affairs (CAE) approved Senate Draft Resolution 3/2019 Chico Rodriguez (União-RR). The text states that motorcycles under 170cc can reduce the IPVA rate to

The Federal Senate has approved an IPVA exemption for certain motorcycles in Brazil;  see what

The Senate Committee on Economic Affairs (CAE) approved Senate Draft Resolution 3/2019 Chico Rodriguez (União-RR). The text states that motorcycles under 170cc can reduce the IPVA rate to zero.

Motorcycles are an important tool for urban mobility in Brazil, often reliant on their practicality to solve the problems of inefficient public urban mobility. Chico Rodriguez, author of the project, notes that 85% of people who buy motorcycles are people in classes C, D and E. In his opinion, vehicles are used for commuting as well as for work.

Most owners are people who use the motorcycle as a working tool. In all areas, whether in the city or in the countryside. The approval will obviously benefit those who need it most. About 300 reais saved at IPVA are already helping the family budget of these workers – Chico Rodriguez

States are not required to reset IPVA

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It is important to note that CAE approval of draft resolution 3/2019 does not mean that states will be required to reset IPVA to zero. Since IPVA is a state-wide and permissive tax, therefore, it is not mandatory. Senator Mesias de Jesus (RE-RR) notes that even if there is no commitment, most states are expected to accept the proposal. “While having a resolution does not replace the law of each state in setting rates, and that setting it at zero only works as a minimum and is not mandatory for subnational entities, we understand that its setting by the Federal Senate encourages its unification and acceptance by other entities.‘ Jesus commented.

Motorcycles up to 170cc

Below you can see a few examples of popular motorcycles that are among the top 10 best-selling motorcycles in the country and included in the IPVA exclusion list:

  • Honda SG 160


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  • Honda Biz 110i/125

  • Honda NXR 160 Bros.

  • Honda Pop 110i

  • Yamaha YBR 150 Factor

The models mentioned above are among the top 10 best selling motorcycles in Brazil in 2021. It is important to note that several other very popular models are under 170cc. see also should benefit if states adopt draft resolution 3/2019.

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Source: Senate Mobility State.

Source: Mundo Conectado

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