Haddad goes to the STF to reach agreement on Carf’s casting vote

The Minister of Finance, Fernando Haddad, went this Tuesday (14) to the Federal Supreme Court (STF) to close with Minister Antônio Dias Toffoli the details of the agreement drawn up with the Brazilian Bar Association (OAB) to maintain the so-called “quality vote” by CARF (Administrative Council of Federal Resources) in favor of the Union, and not the taxpayer – as sent in the Provisional Measure on the subject, which is in the National Congress.

The agreement closed by the government to maintain the casting vote in Carf was anticipated by analyst Caio Junqueira, from CNN .

“If there was a tie, we have to take into account the fact that there was a doubt, an important doubt about that tax, so the fine falls regardless of whether it is paid at the administrative level or not. If he pays at the administrative level and resolves this pending issue, the interest rate drops. If he goes back to the judiciary, if he decides to go to court, the interest returns from the act of infraction”, said Haddad.

“One hundred and thirty companies accounted for BRL 600 billion in cash. It was a very big controversy, I think we all learned from the suspension and then forwarded to the Federal Supreme Court an understanding that is in force for the duration of the provisional measure in the National Congress”, complements the minister.

Haddad also said that “obviously Congress will have its time now to deliberate on the matter, and I hope that the parameters established in an agreement will serve as a guide for the judgment of the National Congress and eventual sanction of the president of the republic, which are the steps ”.

“Carf had a casting vote in favor of the Treasury, without prohibiting taxpayers from claiming in court what they understood to be their rights. When reversed, the tie vote became pro-taxpayer, the search for justice to the judiciary made by the Federal Revenue Service, by the National Treasury, was prohibited. This was absolutely inappropriate, this was generating a set of absurd problems to the point that Carf’s stock rose from six hundred billion to one trillion and two hundred billion due to the fact that the audit people, the auditors, no longer wanted to judge. Because it was outrageously unfair to auditors. We wanted to correct that”, explained the Minister of Finance.

By means of the agreement, in the event of a tie in the CARF judgments, the following consequences will apply:

• It will not be possible to apply a fine to taxpayers;
• Fines already applied referring to old cases will be extinguished;
• Taxpayers must pay only the principal plus the Selic interest rate;
• A period of three months will be opened so that taxpayers to the Treasury can negotiate debt installments in 12 months;
• If the taxpayer decides to pay and does not question the debt in court, interest will be eliminated. This goes for cases that will be judged and past cases as well.