Keywords: special regime, suspension, ICMS, VAT, imported goods
On 10/25/2013, Ordinance CAT No. 128/2013 was published in the Official Gazette of the State of São Paulo. The Ordinance regulates the concession of the Special Regime for the suspension of the ICMS (State VAT) levied on imported goods which will subsequently be destined to interstate sales that are subject to ICMS, at a tax rate of 4%, pursuant to the Federal Senate Resolution No. 13/2012.
The taxpayer located in the State of São Paulo must prove that it has accrued high and continuous ICMS credit balances, and it must indicate the percentage of suspension needed to stop the accrual of credits.
In addition to this, the following requirements must be satisfied:
- the taxpayer must be subject to Electronic Invoicing (NF-e) and Digital Tax Bookkeeping (EFD);
- the customs clearance of the relevant imported goods is carried out in the State of São Paulo;
- the taxpayer is in good standing before State of São Paulo Revenue Office;
- none of its establishments can have:
- overdue tax debts enrolled with the Debt of the State of São Paulo (Dívida Ativa);
- ICMS debts declared and not paid within 30 days of the due date;
- overdue ICMS tax debts arising from Tax Assessments considered valid in the administrative sphere.
The Executive Director of the Tax Administration will be responsible for the approval of the relevant application.
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