Mendonça wants states and the Federal District to provide information on ICMS rates

Minister André Mendonça, of the Federal Supreme Court, gave five days for states and the Federal District to provide information on ICMS rates that each state charges on diesel.

The minister also requested that the tax authorities submit information within the non-extendable period of 48 hours, in relation to the last 60 months, month by month, the nominal and effective rates practiced, as well as the historical series, in addition to the value of the unit’s gross tax collection. federated with ICMS in relation to fuels, the rates applied in operations with goods and merchandise, for which there is no specific rate forecast; and the average proportional weights of ICMS in the formation of final fuel prices practiced within the scope of their respective jurisdictions.

On May 13, the minister overturned a decision by the National Council for Finance Policy (Confaz) that defined the tax rates.

The magistrate answered a request from the Jair Bolsonaro government, which, through the Attorney General’s Office (AGU), went to the Supreme Court to question the disrespect for the law that established a single tax rate for all states, in reais per liter, charged only at the production stage.

In March, the council formed by the state finance secretaries established that the ICMS on diesel would be R$ 1 per liter, based on a law passed by Congress that unified the charge. Confaz also authorized states to give discounts. AGU understands that it would be a way to circumvent the single rate.

The AGU also asked the minister to suspend the entire agreement, a request that was not evaluated.