São Paulo extends ICMS benefits to the paper and machinery sectors
In addition to the benefits to these sectors, the State Government also encouraged the production of energy from renewable sources
Investe São PauloOn Monday, April 1, there was a publication of decrees extending the tax incentives specified in the ICMS [Tax on Circulation of Goods and Services] Regulation in São Paulo, for the paper and machinery and equipment sectors.
Decree No. 60.307/14 extended until December 31, 2015 the benefit of reduced tax burden on the domestic outflow of cutsize paper, a type of paper used for writing, printing or other graphic purposes, excluding the paper used for printing Brazilian banknotes. This benefit is set out in Article 60 of Annex II of RICMS/SP and would end on March 31, 2014. With this measure, the final tax burden of ICMS remained at 12%, aiming to keep the industry competitive.
Another extension occurred in Decree No. 60.308/14, which extends until March 31, 2015 the benefit of presumed credit to manufacturers that perform domestic outflow, intended for the end user, or interstate outflow of wheel loader, hydraulic excavator and backhoe, set out in Article 36 of Annex III of RICMS/SP.
Renewable Energies
The State of São Paulo published on March 28, 2014 the decrees No. 60.297/14 and 60.298/14. These incentives are applicable to goods and equipment intended for the production of energy from renewable sources.