The purpose of this discussion text is to Address the more general aspects of the Brazilian tax burden, considering the negative impacts of its complexity, lack of transparency and economic regressiveness. This structure greatly penalizes the Brazilian industrial sector, affecting not only the daily operations of companies, but also Brazilian investments and exports, since it harms the competitiveness of Brazilian companies in the international market. Excessive industrial taxation, on
the one hand, reduces consumption and increases social inequality as it disproportionately burdens the less favored classes; on the other hand, it inhibits productive investment and, consequently, the country's economic growth. The text also puts the Brazilian tax burden in international comparison, highlighting the misalignment with other countries. Finally, alternative proposals to the current tax system are discussed, with emphasis on the replacement of the various taxes by a modern Value Added Tax (VAT), that is, a VAT at the destination, with full credit, broad base and avoiding maximum different rates.