Brazil Federal Tax Authority Cracks Down on E-cigarette Sales

Dec.17.2024
Brazil Federal Tax Authority Cracks Down on E-cigarette Sales
Brazilian Federal Revenue Agency strengthens e-cigarette sales regulation, suspending operations of 22 companies in São Paulo for non-compliance.

According to a report by G1.Globo on December 16th, the Brazilian Federal Revenue Agency has intensified its monitoring of e-cigarette sales. Since October, 22 businesses in São Paulo have had their tax identification numbers (CNPJ) suspended. Authorities have stated that they plan to take broader actions against unregistered small vendors by 2025, including confiscating goods and possible criminal prosecution.


In 2024, the seizure volume of e-cigarettes reached a new high of 240 million Real (39 million USD), nearly quadrupling from 63 million (10.25 million USD) in 2023.


Raphael Eugênio de Souza, the Federal Revenue Service's chief coordinator for cracking down on smuggling and tax evasion, stated that penalties on businesses are intended to deter them from repeating illegal behavior. The suspension of a company's tax identification number will hinder its normal operations, including the inability to conduct banking transactions, issue invoices, and pay suppliers.


In addition, the tax authorities have warned that there is a link between the illegal e-cigarette market and funding organized crime. Purchasing smuggled goods from small shops is actually supporting criminal networks, which increase profits through a variety of illegal activities.


In addition, authorities will increase efforts to crack down on the sale of e-cigarettes on online platforms and applications.


We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn


Notice

1.  This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2.  The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3.  This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4.  Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

 

Copyright

 

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

 

AI Assistance Disclaimer

 

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

PMI Q2 Call: ZYN Growth, IQOS Pricing and a Diverging Global Tobacco Market
PMI Q2 Call: ZYN Growth, IQOS Pricing and a Diverging Global Tobacco Market
Philip Morris International’s second-quarter earnings call offered new detail on its smoke-free strategy. Management said it would increase U.S. investment behind nicotine pouch brand ZYN, keep IQOS focused on volume before stronger pricing, and use SENTIA, DELIA, LEVIA, VEEV and ZYN to manage tax and regulatory pressure across Japan and Europe. Analysts from Goldman Sachs, Morgan Stanley, UBS and other firms also pressed PMI on profitability, market share, cigarette resilience and the durability of its global transformation over coming quarters.
Jul.24
Korean component maker ITM Semiconductor says Indonesia unit starts e-cigarette device output as related Q1 revenue rises 55.4%
Korean component maker ITM Semiconductor says Indonesia unit starts e-cigarette device output as related Q1 revenue rises 55.4%
South Korea’s KOSDAQ-listed electronics-component maker ITM Semiconductor said its Indonesia subsidiary has begun full-scale mass production of e-cigarette devices, with first-quarter revenue from the business rising 55.4% year on year to 42.1 billion won, Maeil Business Newspaper reported.
Jul.08
UK Vape Brands Face White-Packaging and Flavour-Name Curbs in Youth-Appeal Crackdown
UK Vape Brands Face White-Packaging and Flavour-Name Curbs in Youth-Appeal Crackdown
The UK government and devolved administrations have launched a 12-week consultation on proposals to make vapes less appealing to children, including plain white packaging, limits on device colours, restrictions on flavour names and changes to how products are displayed in shops.
Jul.10
Product | JTI Philippines Expands Nordic Spirit Nicotine Pouch Portfolio With Dark Pop and Red Frost
Product | JTI Philippines Expands Nordic Spirit Nicotine Pouch Portfolio With Dark Pop and Red Frost
JTI Philippines has expanded the Nordic Spirit nicotine pouch portfolio in the Philippines with two new variants, Dark Pop and Red Frost. Both products maintain the brand’s tobacco-free nicotine pouch positioning, with Dark Pop featuring a fizzy cola profile with citrus and sweet notes, while Red Frost combines cool mint with sweet red berry flavors. The two variants are now available through Philippine online retail channels.
Aug.18
Japan’s Heated Tobacco Tax Reform Drives Price Increase as JT Raises All Ploom Sticks by ¥40
Japan’s Heated Tobacco Tax Reform Drives Price Increase as JT Raises All Ploom Sticks by ¥40
Japan Tobacco Inc. (JT) has applied to Japan’s finance minister for approval to revise retail prices of its Ploom heated tobacco sticks following planned changes to the heated tobacco tax system from October 1, 2026. If approved, all 31 Ploom stick products will increase by ¥40. After the adjustment, EVO products will cost ¥620 per 20-stick pack, MEVIUS products ¥590 and CAMEL products ¥570. JT said the price revision is intended to respond to tax changes while maintaining product quality and brand value. The tax reform is expected to narrow the tax gap between combustible cigarettes and heated tobacco products, potentially reshaping pricing strategies in Japan’s heated tobacco market.
Jul.22
Special Report | China Opens Draft Mandatory Heated Cigarette Standard for Comment, Multiple Heating Technologies Remain in Scope
Special Report | China Opens Draft Mandatory Heated Cigarette Standard for Comment, Multiple Heating Technologies Remain in Scope
China’s State Tobacco Monopoly Administration (STMA) has released a draft mandatory national standard for heated cigarettes, setting out detailed requirements for tobacco sticks, heating devices and aerosols. The proposal treats the stick and device as parts of the same product system, focuses on minimum safety and quality requirements, and leaves several heating architectures within scope.
Special Report
Jul.29