Tax reform is one of the most impactful topics for Brazilian companies in 2025. With the shift to the new tax system, organizations need to understand the new rules, which are set to transform fiscal and operational routines.
In this article, we will discuss the changes brought by the tax reform, how companies can prepare, the risks of postponing adaptation, and the benefits of acting proactively.
We will also show how Apter can support your company throughout this process.
What is the tax reform?
The tax reform is a set of changes to Brazil's tax legislation, aimed at simplifying and modernizing the country's tax system.
The current system is complex and difficult to navigate, creating confusion and compliance challenges for businesses. The reform aims to reduce this complexity, making tax obligations easier to fulfill.
Furthermore, the reform seeks to increase transparency in tax operations, enabling companies and citizens to better understand how taxes are levied and applied.
Among the key changes are the consolidation of several taxes into a single levy and the introduction of a value-added tax (VAT), which is standard in many countries. A restructuring of state and municipal taxes is also planned, promising greater uniformity and simplicity for companies operating across different regions of the country.
Impact of the tax reform
The tax reform is expected to bring significant changes across all sectors of the economy, directly affecting the way companies calculate and pay their taxes. Key changes include:
Tax consolidation
One of the most significant changes is the consolidation of several taxes into a single levy. Instead of managing multiple tax obligations, companies will have only one tax to deal with. This is expected to greatly simplify internal processes, reducing the time and resources required to meet tax compliance requirements.
Tax burden reduction:
Although the reform's primary goal is simplification, there is also an expectation that it may reduce the tax burden for certain specific sectors. This could benefit companies currently facing high tax costs, enabling them to invest more in their businesses and become more competitive.
Increase in competition:
With a simpler tax system and lower compliance costs, the reform should create a more business-friendly environment. This means that more companies will be able to enter the market, increasing competition. For consumers, this may result in better products and services, as well as more competitive prices.
Improvement in the business environment:
With less bureaucracy and greater transparency, the business environment in Brazil is expected to become more attractive to both domestic and foreign investment. This could boost the economy, generating more jobs and growth opportunities for companies of all sizes.
Business model adjustments:
Companies will need to review their business models to adapt to the new rules. This may include adjustments to supply chains, pricing strategies, and even the way products and services are delivered. Companies that adapt quickly will gain a competitive advantage, positioning themselves to capitalize on the opportunities the tax reform will create.
Given all these changes, it is essential that companies begin preparing for the transition now. Staying current and well-informed about the new rules will be critical to minimizing risks and capturing the benefits the reform can offer.
How are companies preparing?
Many companies are already preparing for the tax reform transition by adopting measures to ensure compliance and minimize financial impacts. Certain actions are essential to be ready for the change and to ensure a smoother, less disruptive transition. See below:
Technology upgrade
One of the first steps is upgrading enterprise resource planning (ERP) systems. These systems need to be adapted to reflect the new tax requirements, which calls for significant investment. Companies are investing in technology solutions that ensure accurate calculation of the new taxes and generation of appropriate tax reports.
Team training
Another critical aspect is the training of tax, accounting, and IT teams. Companies are conducting training sessions and workshops to ensure their professionals are equipped to handle the new rules and ancillary tax obligations.
Business model review
Some organizations are using the tax reform as an opportunity to revisit their business models. This includes reassessing supply chains, pricing, and cost structures in pursuit of greater efficiency under the new tax landscape.
The examples above represent some of the practices available to reduce risks and stay prepared.
Risks of last-minute preparation
Leaving preparation for the tax reform transition to the last minute can bring significant risks for companies. The main risks include:
Penalties and fines
Non-compliance with the new rules may result in severe penalties, including fines and tax sanctions. Companies that are not prepared risk facing financial difficulties and reputational damage.
Increase in operational costs
Rushed adaptation can lead to higher operational costs. Companies may face additional expenditures on last-minute consulting, emergency technology upgrades, and errors in fulfilling the new tax obligations.
Loss of competitiveness
Companies that fail to adapt quickly may lose market share. Lack of preparation can lead to inefficient processes, higher costs, and difficulty competing. Businesses already aligned with the new tax reality will stand out.
The risks mentioned above are only a few examples. They can be numerous and harmful to your company's financial health. If we have the opportunity to anticipate and prepare everything in advance, we should seize it.
Benefits of acting proactively
On the other hand, companies that proactively prepare for the tax reform transition can enjoy several important benefits:
Cost reduction
By preparing in advance, companies can plan their adaptations in a more organized manner. This includes adjusting systems and processes, which can result in significant savings on technology upgrades and consulting fees. Moreover, sound planning helps avoid unexpected expenditures in the future.
Improved compliance
Companies that adapt early to the new rules are more likely to be in compliance from the outset. This means a lower risk of facing issues with tax authorities, such as fines or sanctions, since they will be following all regulations correctly. Compliance also helps maintain a strong market reputation.
Increased competitiveness
Being prepared ahead of competitors provides a significant advantage. Companies that adjust their business models and improve operational efficiency can stand out. The tax reform may open new opportunities, and those ready to seize them will have a greater chance of growing and strengthening their market position.
By acting proactively, companies not only avoid problems but also position themselves to better capture the benefits the reform can bring.
How Apter can help
Apter is a highly specialized consulting firm in tax legislation, with a team directly involved in interpreting and applying the new rules. We offer comprehensive solutions to support your company during this transition period:
Customized diagnostic
We assess the specific impacts of the tax reform on your business, identifying critical areas that require intervention. Our diagnostic includes a detailed analysis of tax obligations, workflows, and management systems.
Strategic planning
We develop a customized transition plan, including implementation timelines and risk management strategies. Our strategic planning aims to ensure an efficient and effective adaptation to the new tax rules.
Technology upgrade
We work in partnership with system providers to ensure that technology solutions are aligned with the new requirements. Our team of IT specialists ensures the implementation of fiscal management systems tailored to your business's specific needs.
Team outsourcing and training
We offer team training and outsourcing services to ensure your company is fully prepared for the tax reform. Our training sessions and workshops are geared toward aligning tax, accounting, and operational teams with all aspects of the new tax obligations. For companies that wish to focus on their core activities, we offer an outsourcing option. Our experienced professionals can manage your fiscal and accounting needs, ensuring compliance and efficiency at every stage of the process.
The importance of acting now
With the tax reform already in effect, the window for adaptation is narrow. Companies that get ahead of the transition period tend to minimize costs and avoid risks associated with penalties and non-compliance.
Count on Apter to navigate this transformation. Our expertise and in-depth knowledge ensure comprehensive support so your company remains compliant and competitive in the market.
Contact us and schedule a meeting to discuss how we can help your company at this moment.
