Bolsonaro cuts taxes on PS5, Xbox and other video games | Brazil

President Jair Bolsonaro will again reduce taxes on game consoles in Brazil. The announcement, given on Monday (26) by the social network, says that the decision will be announced in the Official Gazette (DOU) on Tuesday (27). This is the second time the president has pushed for a reduction of IPI (Taxes on Industrialized Products) on video games – a measure that could affect the prices of launch products like the PS5 and Xbox Series X .

Jair Bolsonaro (Image: Marcos Corrêa / PR - August 14, 2020)

Jair Bolsonaro (Image: Marcos Corrêa / PR – August 14, 2020)

According to the president, the reason for the reduction is due to the gaming community complaining. In a live broadcast, Bolsonaro explained: “The kids last year decided to complain about video game prices, chips, etc. And there was a tax step and we tried to increase the highest step from 50% to 40%. And now the kids are back hot again and with good reason. “

With the new decree, the IPI becomes:

(a) 40% to 30%: game machines and game consoles;

(b) 32% to 22%: video game consoles and accessories with images reproduced on the screen;

(c) between 16% and 06%: video game machines with integrated screens, whether mobile or not, and parts thereof.

The drop does not include video games, as the president considered in early October.

Updated September 29, 6 pm: following the measure related to the IPI reduction, Microsoft announced the pre-sale discount of the Xbox Series X and Xbox Series S. Red $ 4,999 down to R $ 4,599 for the first time and from R $ 2,999 for the second time to R $ 2,799. Both consoles will be launched in Brazil on November 10.

The dollar can still hold the price high

Despite the drop in IPI, the prices of the next generation panel and accessories will remain high this year. In addition to other taxes, such as ICMS and Import Taxes, the dollar’s rise and the COVID-19 pandemic economic crisis are factors that directly affect the amount billed to consumers. last used.

So far, no discount has been announced for Microsoft and Sony releases slated for November. Xbox Series X and S will hit the national market for Rs 4,999, respectively. 2,999 R $. PlayStation 5 is pre-sold for R $ 4,999 (PS5) and R $ 4,499 (PS5 Digital Edition).

It should be noted that there is a PEC (Proposed Amendment of the Constitution) in progress in the Senate with the goal of bringing taxes on consoles and games made in Brazil to zero. its take place in August 2019.

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