Gabriel Caldiron Rezende of Machado Associados discusses the excise tax (IPI) reduction made by the Brazilian federal government, the steps taken to reach a reduction of 35%, and the controversies on the horizon.
Gabriel Caldiron Rezende and Thales D'luca Magagnin of Machado Associados discuss the highly anticipated Supreme Court decision on the taxation of advertising in some media.
Mauri Bornia and Gabriel Caldiron Rezende of Machado Associados discuss the legislative changes made by the state of São Paulo to the State VAT (ICMS) on transactions with electricity in the free market.
Júlio de Oliveira and Gabriel Caldiron Rezende of Machado Associados discuss the recent decision of the Superior Court of Justice on the calculation of interest and penalty on the drawback customs regime.
Júlio de Oliveira and Gabriel Caldiron Rezende of Machado Associados discuss the recent manoeuvre of the Federal Revenue Service to reduce the financial impact of the Brazilian Federal Supreme Court decision on the PIS/COFINS taxable base.
Brazil's Supreme Court concludes discussion on the inclusion of ICMS in the PIS/COFINS taxable basis internationaltaxreview.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from internationaltaxreview.com Daily Mail and Mail on Sunday newspapers.
Withholding of the municipal service tax is unconstitutional
The municipal service tax (ISS) has always been the subject of severe controversies related to the municipality to where it should be paid.
This is because, as a rule, the ISS is payable to the municipality where the establishment providing the service is located, regardless of where the service receiver is located. Based on this, several municipalities granted ISS tax benefits, which resulted in a lower tax burden, to attract service providers.
Seeking tax reduction, but without setting up a new establishment, it became common for malicious companies to simulate their existence in municipalities with lower ISS, giving rise to several controversies when a party engaged a service provider located in another municipality.
The decision comes as good news for the DNOs involved in the electricity supply to free consumers
The Brazilian energy sector is highly regulated. In general, electricity is supplied by the distribution network operator (DNO) licensed by the government according to the geographic area. The DNO distributes electricity from the transmission grid to homes and businesses under the terms, conditions and tariffs set forth by the National Electric Energy Agency (ANEEL). This is known as the ‘regulated market’.
Nevertheless, consumers that have a high demand for electric power (consumer units with a load greater than or equal to 3,000 kW) may purchase it directly from generators or electricity traders, in negotiable terms, conditions and, especially, prices. This form of electricity marketing is called the ‘free market’.