Deputies and senators asked the Minister of Finance, Fernando Haddad, take action to end “digital smuggling”. The appeal was made at a meeting of the Joint Parliamentary Front for Entrepreneurship (FPE)

According to these parliamentarians, retailers like Shein, AliExpress and Shopee sell products without taxation or underpriced in the country, something that makes it difficult for domestic companies to compete.

In an interview with Folha, the president of FPE, Marco Bertaiolli, pointed out that the practice of Chinese companies has become increasingly common:

Europe currently receives 500,000 daily packages from China, in which the amounts are under-invoiced and the packages are multiplied. You buy five Shein T-shirts. She sends five packages, one with each T-shirt to be below the amount that is taxed, which is US$ 50. Even so, when it goes over US$ 50, the amount on the invoice is underinvoiced.

The deputy also reinforced that national retail has been harmed by this unfair competition.

We have billions that are not taxed, nor is the IOF paid. It’s not just taxing what we have, it’s having a general perception of what is not contributing in Europe.

It is worth remembering that this is an old complaint from Europeian businessmen, since most pay taxes along the production and even distribution chain.

On the other hand, Chinese retailers use the benefit of exemption for exchange between individuals to avoid import tax, something that is only possible when the merchandise is sold below US$ 50.

Recently, Renner’s CFO revealed that the Federal Revenue has already started to act by publishing a regulation that requires the sharing of information on goods arriving by international shipments, either by the Post Office or by carriers.

This should facilitate the collection of taxes, since it will be done automatically and without the need for a tax auditor to inspect manually.