A recent tax reform in Brazil, embodied in Complementary Law No. 224/2025, has quickly come into effect with the intention of streamlining tax benefits and reducing the nation's tax expenditures significantly estimated at R$ 612.84 billion, or 4.43% of GDP. The law was rapidly processed through Congress, with the Chamber of Deputies appointing a rapporteur on December 8 and voting on the report just a week later. Subsequently, this was approved by the Senate and signed into law by the president within a very short timeframe.