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States again ask the STF to suspend Mendonça’s decision on ICMS

The governments of the 26 states and the Federal District asked, this Thursday (30), that Minister Gilmar Mendes, of the Federal Supreme Court, suspend an injunction (that is, provisional) by Minister André Mendonça on the taxation of ICMS on fuels.

Mendonça is the rapporteur of another action that also deals with rules for charging ICMS on fuel. After an unsuccessful attempt at conciliation between the states and the Union, Mendonça decided, on a provisional basis, to suspend an act of the National Council for Finance Policy (Confaz) that regulated the collection of the tax on diesel.

With Mendonça’s decision, it will not be allowed to have 27 different ICMS rates, which represents uniformity and reduction in the value of fuel and less fluctuation in prices.

The states also criticized the request made by the Attorney General’s Office (AGU) on Wednesday night (29) for another 30 days to express an attempt to reach an agreement on the tax rate.

According to the states, the request for suspension of Mendonça’s injunction is to avoid “a real tax chaos in the field of ICMS on fuel, with serious operational damage in the tax field”.

“Continuing the hearing, and within the period agreed and signed in the Minutes, the States presented the proposal contained in the petition. The Union, however, did not submit proposals and, moreover, requests an extended period of 30 days, on the eve of the recess of the Excelso Pretorio, to analyze the points of the proposal presented by the Federated Entities – which is not in line with the urgency that the importance of the matter demands”, justified the Conpeg (National College of Attorneys General of the States and the Federal District), which signs the document.

The states claim that they have already put into practice one of the points proposed in the conciliation that has been conducted by Minister Gilmar Mendes: the taxation of diesel according to the PMPC moving average of the last 60 months. With this, if the Union does not manifest itself soon, the states claim that there is “a risk to the federative balance and the application of linked resources from the ICMS”.

On Tuesday, states and the Union participated in a conciliation hearing convened by Minister Gilmar Mendes, of the STF, to seek an agreement on the ICMS issue.

Source: CNN Brasil

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