The federal government decided to withdraw the emergency regime of the Supplementary Bill 68/2024, which deals with the regulation of tax reform, after the deadline for voting expires. The bill, which arrived in the Senate on August 7, should have been voted until September 22. As the deadline was exceeded, the bill began to lock the Senate agenda from September 23, preventing the vote on other proposals, except those with constitutional deadlines established, until the PLP of the reform is analyzed.
Key points of tax reform
The reform proposes the creation of Goods and Services Tax (IBS), which will replace the ICMS and ISS, unifying taxation on goods and services into a single tax, with the aim of simplifying the tax system. The IBS will have a calculation basis that covers both the circulation of goods and the provision of services, and will be charged non-cumulatively, focusing only on the value added at each stage of the production process. The proposal also provides variable rates, according to the category of goods and services, in order to promote greater fiscal justice, preventing states and municipalities from covering divergent rates.
In addition to IBS, the reform suggests the creation of Contribution on Goods and Services (CBS), a federal tax that will replace PIS, Cofins and IPI. Like IBS, CBS will also be charged non-cumulatively, focusing on corporate revenue, with taxation only on value added.
Another highlight of the reform is the call Selective Tax, or “Secado” tax, which will focus on goods and services considered harmful to health or the environment.
The project has already received more than 1.2 thousand amendments in the Senate and is under review by the Committee on Constitution and Justice (CCJ). Meanwhile, public hearings have been held to discuss the text. One of these hearings, held on Wednesday, September 25, was promoted by the Committee on Economic Affairs (CAE) and aimed to discuss the impacts of tax reform on differentiated and specific regimes. The debates are part of a cycle requested by the committee president, Senator Vanderlan Cardoso (PSD-GO), to assist the working group coordinated by Senator Izalci Lucas (PL-DF) in the evaluation of the regulation.
What changes for businesses
While the bill is still being processed in the Senate, businessmen, especially those opting for Simples Nacional, question how the changes can impact their activities.
According to Rafael Caribe, CEO of Streamline Online Accounting, simples Nacional is already a simplified regime, which consolidates several taxes into a single payment.He notes that some companies can benefit from the rules of non-cumulativity and the segregation of taxes.
“The taxpayer opting for Simple can take advantage of non-cumulativity. Currently, it is possible to compensate ICMS, PIS and Cofins credits (except the ISS) of previous steps. With the reform, there will be a hybrid regime that will allow to compensate even the ISS through IBS. Although this can increase the tax burden, it will allow the full use of credits and their transfer to customers, which will be especially advantageous for B2B companies (business to business), with long production chains. For companies that operate in B2C (business to consumer), there will be no change, as the credits cannot be transferred to the final consumer.
He points out that during the transition period, the accountant will be a key partner for companies.“It will be a long transition, but necessary to simplify the Brazilian tax environment and ensure greater competitiveness”, he says.
The government expects the text to be approved later this year by the Senate, although the possibility is already admitted that the vote will be for the beginning of 2025.
