Senate approves validation of state tax incentives
The CAE (Senate Economic Affairs Commission) approved on Tuesday (4) the validation of tax benefits granted by States to attract investments, within the so-called fiscal war. The text must be voted on in the House plenary this Wednesday (5), and then go to the Chamber of Deputies.
The bill aims to maintain incentives related to ICMS (Tax on Circulation of Goods). To this end, they will be revalidated based on new legislation that changes the quorum for approval of these benefits.
The STF (Supreme Federal Court) has already decided that they can only be granted by unanimous decision of Confaz (National Council for Farm Policy), an organ that brings together the state finance secretaries.