Brazil Judge Suspends Oil Export Tax for Some Companies

Federal Court of Rio de Janeiro granted an injunction to foreign oil companies, suspending the immediate application of the 12% export tax instituted by the government, which establishes measures to combat the effects of the Iran war on the national fuel market, according to a decision seen by Bloomberg.

• Preliminary injunction was granted to Shell Brasil, Equinor, Petrogal, TotalEnergies, and Repsol Sinopec
• Judge understood that the measure has a revenue-raising purpose
• Decision suspends the collection of the tax on oil company operations from the beginning of the Provisional Measure’s validity, on March 12
  • Penalties or sanctions were also dismissed
• NOTE: ...