Brazilian Ports War triggers new legislation for inter-state transactions
15 November 2012
Renata Correia Cubas, of Mattos Filho, Veiga Filho, Marrey Jr e Quiroga Advogados, explains why state VAT incentives for imported goods are causing problems for Brazilian taxpayers.
Brazilian taxpayers have sought a reduction in state VAT incentives granted to import transactions, and also in the tax credits arising from inter-state transactions of imported goods in recent years.
Under Brazilian law, the state VAT rate applied to inter-state transactions is between 7% and 12% depending on the states involved.
Payment of the VAT generates a tax credit against the state of destination of those goods, which is often not fully charged in the state of origin upon customs clearance of the goods. Most states offering incentives...
This article is available to current subscribers of ITR Premium only. Log in to ITR Premium or subscribe for access. Alternatively, take a free trial, giving you access to ITR Premium for 7 days (some articles and surveys may be excluded).
This article is available to subscribers only. To gain acess to to the rest of this article please subscribe to ITR Premium.
This articles is available to free trialists and subscribers only. To view the rest of this article please take a free 7 day trial.