IPVA of flex-fuel vehicles ("flex") - problems with respect to the applicable rate

Abstract

The IPVA is a tribute of state competence responsible for much of the revenue collected by the Brazilian states by way of taxes. This claim, coupled with the relentless pursuit of a more balanced environment, has led to the creation of incentive rates for certain types of fuels and thus, the manufacture of vehicles that can use them uniquely or in combination. However, the outdated state laws and the application of extrafiscal and selectivity for the rates of the tax breaks make the problems faced by this study, namely that of what should be the rate applicable to cars called "flex". The doctrine on the subject differ, but the courts have been positioned in the sense that the law brings the solution through general rates and that any modifications or creations of other applications rates should be made by the Legislature. In this sense, the legislatures of the states of Sao Paulo and Rio de Janeiro presented bills for the demarcation of the question, so far is not pacified, even for economic reasons.