Opposition defends gradual change in fuel ICMS

The word “modulation” has been repeated by representatives of the opposition to try to soften the impact, in states and municipalities, of the reduction of ICMS on fuel and energy – an average that would only be valid until the end of this year.

Leader of the opposition in the Senate, Randolfe Rodrigues (Rede-AP) told CNN that it would be complicated to oppose the measure that would reduce fuel prices – he and other opponents tend to vote in favor of the project and then present highlights that modulate and establish that the changes would not occur abruptly.

New government leader in the Senate, Carlos Portinho (PL-RJ) said that, in relation to fuels, the proposal for a gradual reduction of the ICMS comes up against what he classifies as an immediate need to reduce prices. He stated that this point was highlighted in a meeting, on Monday night, with governors such as Rio, Claudio Castro (PL) and Minas, Romeu Zema (Novo).

For Portinho, the search for modulation could occur, for example, in the case of the reduction of ICMS on energy and would have as a reference the decision of the Federal Supreme Court that postponed to 2023 the increase in tax rates for the sector.

Rodrigues, however, mentioned that constitutional provisions would also be obstacles to sudden changes in ICMS.

Article 150 of the Constitution says that taxes cannot be collected in the year (fiscal year) in which they were imposed or increased. It also determines that the collection can only occur after 90 days have elapsed from the publication of the law that “instituted or increased them”.

The articles do not require a deadline for the reduction in the value of taxes, but, for Rodrigues, they give scope for contestation by governors in the STF. He stressed that the Union cannot also legislate on state taxes.

But Portinho stressed that the principles of annuality and novena would not prevent the immediate implementation of the changes, since fuels would be considered essential products.