Brazil’s landmark consumption tax reform under Constitutional Amendment 132/2013 (formerly PEC 45/2019) is on track to establish a standard dual Value-Added Tax (VAT) rate of up to 28%. If confirmed, the rate—composed of the federal Contribuição sobre Bens e Serviços (CBS) at approximately 8.8% and the subnational Imposto sobre Bens e Serviços (IBS) at roughly 17.7%—would become the highest standard VAT rate among all Organisation for Economic Co-operation and Development (OECD) member countries. The potential 28% rate stems from the strict requirement of fiscal neutrality, meaning the government must maintain current revenue levels while accommodating numerous sector-specific exemptions and reduced-rate regimes negotiated in Congress.