Brazil’s Ministry of Communications has introduced a new taxation regime for the construction of telecommunication networks, with the aim of expanding fibre-optic infrastructure and increasing the reach of broadband in the country.   The Special Taxation Regime for the National Broadband Plan (REPNBL) was published on 13 March in the Official Gazette and is expected to generate BRL 6 billion in tax breaks until 2016.

The incentive will apply to the purchase of goods and services until 31 December 2016. The government said the plan aims to stimulate BRL 16-18 billion in network investment in the period. The submission deadline for companies interested in the special regime will expire on 30 June.