Brazilian Senate abandoned incentive projects for electric and hybrid cars

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It was two buckets of cold water in projects that benefit electric cars in Brazil. The actions came from the Federal Senate, which cut two bills that would create tax incentives for zero emission vehicles.

The first project would establish industrial tax exemption for electric and hybrid cars. The second would give tax benefits related to PIS / PASEP and Social Security Financing. Electric cars, hybrids, parts and components would win these incentives. The projects were being processed in Congress since 2009.

Unlike mature markets, Brazil doesn't grant tax incentives for electric and hybrid cars. In 2014, there was only the reduction in the importation tax between 2% and 7% for hybrids without battery recharge in external source. Other than that, all other taxes are normally charged.

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