Brazil's Congress Approves Tax Incentives for Datacenter Installations under Redata
DATA AND AI INFRASTRUCTURE
The Brazilian Chamber of Deputies approved a bill creating tax incentives for datacenters, focusing on cloud computing and AI. The proposal, authored by José Guimarães, aims for a five-year tax suspension on equipment purchases in exchange for sustainability commitments.
Key changes include limiting import tax suspension to products without national equivalents and excluding components from the Manaus Free Trade Zone. Estimated tax exemptions are R$ 5.2 billion in 2026 and R$ 1 billion in the following two years.
Feb 25, 2026, 1:24 PM
