Federal representatives from Baixada Santista work to preserve Reporto in full

Special tax regime granting federal tax exemptions on the purchase of machinery and equipment for the sector (Vanessa Rodrigues/AT)

Federal representatives from the region, Rosana Valle (PL) and Paulo Alexandre Barbosa (PSD), both of whom were reelected, are adopting different strategies to ensure the full preservation of the Tax Regime for Incentives for the Modernization and Expansion of Port Infrastructure (Reporto).

Designed for the port and railway sectors, Reporto allows the suspension of federal taxes on imports or domestic purchases of machinery, equipment, and replacement parts until December 31, 2028. However, Complementary Law (LC) 224/2025, which has been in force since December last year, established an across-the-board 10% reduction in federal tax incentives and benefits, including those granted under Reporto.

Effective legislative solution

Both lawmakers consider it appropriate to include Reporto in Complementary Law Bill (PLP) 11/2026, which is currently under consideration and amends LC 224/2025 to establish exemptions, identifying sectors that will not be subject to benefit reductions.

Rosana says she will work toward this goal and will “engage with the rapporteur (federal representative Isnaldo Bulhões Jr., of MDB-AL), the PL leadership, the Speaker of the Chamber of Deputies, and other lawmakers involved in infrastructure to develop the most effective legislative solution.”

“Politically and procedurally, there is room for this discussion as long as the bill has not been put to a vote. PLP 11/2026 was itself introduced to expand the exemptions from the across-the-board reduction in tax incentives. Therefore, discussing the inclusion of a regime directly linked to the country's strategic infrastructure is consistent with that objective. If Congress determines that certain sectors deserve differentiated treatment because of their economic importance, it is difficult to justify excluding ports, through which most of Brazil's foreign trade passes”, she says.

“It is contradictory to seek to increase the capacity, productivity, and competitiveness of Brazilian ports while simultaneously making the investments required to achieve these goals more expensive. And these costs are not limited to terminals. More expensive ports mean higher logistics costs, less competitive exports, and an impact on the entire Brazilian production chain. For this reason, I consider weakening Reporto an economic mistake”, Rosana Valle, federal representative (PL) (Alexsander Ferraz/AT)

Extending the term and expanding the eligible beneficiaries

Barbosa, meanwhile, says he is examining three bills introduced by other lawmakers that directly address the regime: PLP 101/2026 (which amends LC 214/2025 to provide for tax relief on services involving vessels pre-registered or registered under the Brazilian Special Registry (REB), in connection with adjustments to the Tax Regime for Incentives for Naval Economic Activity, known as Renaval); Bill (PL) 4885/2016 (which amends Reporto); and PL 733/2025 (the New Port Legal Framework).

“The goal is not merely to prevent the 10% cut, but also to extend Reporto until 2040 and expand the range of eligible beneficiaries to include container depots (facilities dedicated to the storage, cleaning, inspection, and repair of empty containers used to transport goods) and Redex facilities (Special Customs Clearance Facilities for Exports, authorized by the Federal Revenue Service to store, prepare, and clear goods for export before they are sent to the port of shipment). These facilities are also part of port operations”, he explains.

The choice of 2040 as the target year coincides with the term of the Special Customs Regime for the Export and Import of Goods Intended for Oil and Natural Gas Exploration and Production Activities (Repetro), which was created to reduce the tax burden on the oil and gas sector.

“Reporto is not a consumption benefit; it is an investment incentive. It reduces the tax burden on machinery, equipment, and parts that increase the productivity of ports and railways. Reporto is a priority for the Parliamentary Front (Parliamentary Front for Ports and Airports): it was the first item on the agenda we presented to the Majority Leadership, and the Brazilian Infrastructure Institute (IBI), the Front's technical arm, formally requested support for the regime from the Ministry of Ports and Airports (MPor)”, Paulo Alexandre Barbosa, federal representative (PSD) (Vanessa Rodrigues/AT/Archive)

Next steps

Complementary Law Bill (PLP) 11/2026 does not currently include Reporto. A specific amendment would be required to add the regime to the bill. The PLP extends the exemptions to nonprofit organizations, tax-deductible donations and sponsorships, and vehicle purchases by people with disabilities.

The bill is being fast-tracked and is ready for consideration by the full Chamber of Deputies, with federal representative Isnaldo Bulhões Jr. (MDB-AL) serving as rapporteur. No date has been set for its inclusion on the plenary agenda. The bill is ready for consideration and may be placed on the agenda at any time by decision of the Speaker of the Chamber of Deputies.

Under the fast-track procedure, the bill is considered directly by the full Chamber: the rapporteur presents a report in place of the committees, followed by debate and voting. Because it is a Complementary Law Bill, approval requires an absolute majority of the Chamber's members — 257 votes. If the Chamber amends the text, it returns to the Senate, which may only approve or reject the changes. If no amendments are made, the bill proceeds to presidential approval.