Owners of vehicles older than 10 years should pay close attention to updated regulations and exemptions in 2025.
Many states across Brazil have specific rules regarding IPVA exemptions and other requirements for older vehicles.
Staying informed can help avoid penalties, ensure legal circulation, and even save money through exemptions or discounts.
Who Qualifies for IPVA Exemption?
Many states in Brazil offer exemptions for older vehicles, but the criteria vary widely.
Understanding these rules can save owners from unnecessary expenses.
Here are some examples of exemption rules by state:
- Acre: Vehicles manufactured before 2005 are exempt.
- Alagoas: Vehicles produced up to 2002 qualify for exemption.
- Amapรก and Roraima: Vehicles older than 10 years (manufactured up to 2015) are exempt.
- Santa Catarina and Tocantins: Only vehicles over 30 years old are exempt.
Each state determines its own rules, so vehicle owners should confirm the details for their location to take full advantage of these exemptions.
Ibaneis Rocha, the Governor of the Federal District, announces exemption from IPVA for 5 years for those who buy an electric car.
Ibaneis anuncia isenรงรฃo de IPVA por 5 anos para quem comprar carro elรฉtrico https://t.co/IAihoPtZNT pic.twitter.com/WeHAavjeQp
โ Correio Braziliense (@correio) October 7, 2019
IPVA Rates for Older Vehicles in 2025
While the focus for many older vehicle owners is on exemptions, others may still need to pay IPVA.
Rates vary by state and are calculated based on the vehicleโs market value. For instance:
- Sรฃo Paulo and Minas Gerais: 4%, the highest rate in the country.
- Bahia: 2.5%.
- Acre: 2%.
Planning payments early can help avoid complications, as many states offer discounts for upfront payments.
How Non-Payment Affects Legal Obligations
Failing to pay IPVA has serious consequences. Owners cannot complete the mandatory annual vehicle licensing, which is required for legal circulation.
Without licensing, vehicles cannot be sold or transferred, and owners risk penalties, including fines and being listed in delinquency registries.
What to Do If Your Vehicle Qualifies for Exemption
If your vehicle qualifies for an exemption, confirm the process with your stateโs tax authority.
Some states require registration or additional documentation to activate the exemption. Others apply it automatically based on vehicle age.
Staying updated on the latest regulations is critical. Confirm the specific rules for your state, check payment schedules, and ensure all necessary documents are in order.