IPVA, or Tax on Motor Vehicle Ownership, is a mandatory annual tax for vehicle owners. The revenue collected from IPVA is used to improve public services, such as roads, schools and hospitals.
To calculate the IPVA for the year 2024, follow this simplified guide:
1. Determine the Market Value of the Vehicle
- Consult the FIPE Table: The Economic Research Institute Foundation (FIPE) publishes a reference table for vehicle prices in Brazil. Access the FIPE website or similar platforms to find the average value of your car, motorcycle or truck, considering make, model, year and version.
- Vehicle Sales Websites: Alternatively, platforms such as OLX, Webmotors and iCarros can give you a good idea of the market value. Compare the prices of vehicles similar to yours.
- Adjust the Value According to the Vehicle Condition: If your vehicle has extra accessories or is in inferior condition, this may influence the value.
- Vehicle Valuation Apps: Use online tools and apps that provide value estimates based on basic information about the vehicle.
- Consultation with DMV: Your state's Department of Motor Vehicles can provide information on the market value of vehicles.
2. Check the IPVA tax rate in your state
- Each Brazilian state establishes its own tax rate for calculating the IPVA. This information can be found on the Detran website in your state.
3. Calculate the IPVA
- Multiply the market value of the vehicle by the IPVA rate in your state. For example, if your vehicle is worth R$$ 30,000 and the rate is 3%, the IPVA to be paid will be R$$ 900.
Tips for Paying IPVA
- Discounts: Some states offer discounts for paying IPVA in cash.
- Installment: If necessary, the IPVA amount can be paid in installments, although this generally excludes the benefit of the cash discount.
Paying IPVA is an obligation for vehicle owners, and this guide makes it easier to calculate the amount due for 2024, allowing for better financial planning.