FIRJAN criticizes Rio's retreat in Fiscal Incentive

For entity, Government decision will increase cargo by R $ 1 billion this year


The Rio de Janeiro industry received bad news that the State of Rio intends to take back part of the tax incentives granted in recent years. In a technical note released yesterday (20/07), the Federation of Industries of the State of Rio de Janeiro (Firjam) calculates that the measure, added to the increase in the rate of the Fund to Combat Poverty, approved at the beginning of the year, will increase by 33 % the tax burden on the sector.

Source: O Globo - RJ (21/07)

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New ICMS overloads e-commerce

Law that changes charging in interstate sales brings bureaucracy to companies; for OAB, inclusion of Simples companies is unconstitutional


The change in the collection of ICMS in non-face-to-face sales between two states, in force since January 1st, has created a major headache for e-commerce companies, especially small businesses. With excess bureaucracy and rising costs, many entrepreneurs across the country are stopping selling to other states or even ending activities. Before, the tax collected in each operation was only with the State of origin of the product. With Constitutional Amendment 87/2015, the ICMS is now shared with the State of destination of the sale. Thus, the entrepreneur now needs to open tax registration in each of the States and make the monthly collection in a specific guide or collect a National Guide for the Collection of State Taxes (GNRE) for each sale made to each consumer outside his State.

Source: The State of São Paulo (14/02)

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Project provides that incentives already granted cannot be canceled

Congressman Ricardo izar (PSD / SP), presented on December 17, 12, Bill 15/4169, which amends Complementary Law 15/24, which deals with agreements for the granting or exemption of ICMS, for determine that taxes due on tax incentives granted without Confaz approval may be canceled or charged.

The proposal is awaiting dispatch to the permanent commissions.

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Special calendar for PEC approved that creates funds against regional inequalities

The Senate Plenary approved on Wednesday (9) a special calendar request for the processing of the Proposed Amendment to the Constitution (PEC) 154/2015, which creates the National Regional Development Fund. The proposal, by Senator Walter Pinheiro (PT-BA), destines part of what is collected with the repatriation of resources for the creation of the fund.

The PEC also creates a compensatory fund for the states, with a duration of eight years, aiming at the unification of the rates of the Tax on Circulation of Goods and Services (ICMS).

Repatriation of resources

The matter should be included in the agenda for the deliberative session next Tuesday (15) and be considered in the agenda that also provides for the vote on the project that regulates the return of funds held abroad that have not been declared to the Federal Revenue (PLC 186 / 2015).

The repatriation project is of constitutional urgency and its approval must guarantee the necessary resources for the constitution of the funds.

Source: Agência Senado (9/12)

Walter Pinheiro proposes that repatriation resources combat regional inequalities

He is on the Constitution, Justice and Citizenship Commission (CCJ), awaiting the appointment of rapporteur, the Proposed Amendment to the Constitution (PEC) 154/2015, by Walter Pinheiro (PT-BA), which allocates part of what is collected through the repatriation of resources for the creation of the National Fund for Regional Development (FNDR). The proposal also creates a compensatory fund for the states, with a duration of eight years, aiming at the unification of the rates of the Tax on Circulation of Goods and Services (ICMS).

The government seeks through the Special Regime for Foreign Exchange and Tax Regularization, to be created after the approval of the Bill of Law of the Chamber (PLC) 186/2015, make possible sources of funds with the application of income tax and fine on assets and assets of lawful origin kept abroad that are regularized with the IRS.

According to PEC 154/2015, the Regional Development Fund should receive, from this and other sources, at least R $ 3 billion per year, during the first five years. To the ICMS convergence aid fund, R $ 1,5 billion should be allocated annually in its eight years of effectiveness. Still according to the proposal, the FNDR should prioritize the Northeast, Midwest and North regions, with the Northeast receiving 50% of the resources.

The ICMS convergence aid fund will allocate its resources in proportion to the losses recorded in each state. If the eight-year term is over and there are still losses, the fund should be extended for another two years.

STF Summary

Pinheiro recalls that the Supreme Federal Court (STF) can vote at any time on the Súmula Vinculante 69, which makes all tax incentives granted since the 1990s unconstitutional, such as those dealing with the ICMS.
- If this occurs, there will be unpredictable economic and social consequences for several states, such as the cancellation of scheduled investments, the closure of production units and the increase in unemployment - he warns.
The senator believes that this is a fundamental complementary measure related to the reform of the ICMS interstate tax system, which is already being debated in the Senate through the PRS 1/2013.
Source: Agência Câmara (7/12)

Levy seeks support for ICMS reform

In an attempt to overcome the resistance of the Federal Senate, the Minister of Finance, Joaquim Levy, sought support from the governors for a movement to reform the ICMS. Levy called all the country's governors and asked for political support for the approval of the resolution that unifies the ICMS rates, a measure that aims to guarantee the end of the fiscal war between States, a situation triggered by the granting of tax incentives to attract investments companies.

Source: The State of São Paulo (16/07)

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