This week, Shein announced that it will assume the burden of ICMS (Tax on Circulation of Goods and Services) on purchases worth up to US$50, equivalent to approximately R$240. As stated in the full statement at the end of this text, this subsidy initiative aims to protect the interests of Brazilian consumers and make fashion accessible to everyone, focusing on their beauty.

The retailer obtained certification to join the IRS's 'Remessa Conforme' program on September 14. This program establishes regulations for imported purchases and displays in advance the taxes that will be applied directly in the shopping cart.

For customers, the most notable aspect of a company adopting the Remessa Conforme program is that international purchases up to US$50 are not subject to import tax. However, the program establishes a 17% ICMS tax rate, which applies to both purchases up to and above this amount. In the case of Shein, the retailer has agreed to assume the burden of this tax.

Compliant Shipment

The program, implemented by the Ministry of Finance, began operating in August. Its purpose is to speed up international trade transactions and eliminate the need for customs inspections.

Joining Remessa Conforme is optional, and its guidelines apply to any purchase of imported products made by companies that have joined the program. Some of the companies already certified include Shein, Sinerlong and AliExpress.

In fact, a printout of a statement AliExpress sent to its partners recently gained traction on social media. In the document, the company states that purchases over US$50 may be subject to a 92% tax.

Shein Announcement

“Shein informs that it was certified on September 14 as a participant in the Remessa Conforme program. The certification was published in the Official Gazette of the Union through an executive declaratory act of the Federal Revenue Service.

With the certification, the company starts to subsidize 100% of the tax burden related to ICMS for all purchases of up to US$ 50.

To meet all technical requirements for certification, SHEIN has made adjustments to the platform, both in the app and on the website. For consumers who make purchases through the website, the changes will happen automatically. For those who prefer to use the app, it is recommended to update the app for a better shopping experience.

The updated version will be available for Android and iOS devices throughout the day. With these changes, consumers will be able to view the product and ICMS values ​​at checkout.

Subsidizing ICMS on purchases up to US$50 is another move by SHEIN to look after the interests of its Brazilian consumers and make beautiful fashion accessible to everyone.

Furthermore, joining the Remessa Conforme program ensures the optimization of customs clearance, ensuring that packages are delivered more quickly to Brazilian consumers.

SHEIN has always viewed the Remessa Conforme program positively and will remain fully committed to the compliance plan and in constant dialogue with the government so that it can contribute to improving the program, as well as continue working to strengthen the e-commerce sector in the country.”