Chamber approves urgency for project that provides for ICMS compensation to states

Chamber approves urgency for project that provides for ICMS compensation to states

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Plenary of the Chamber of Deputies.| Photo: Pablo Valadares/Chamber of Deputies

The Chamber of Deputies approved on Tuesday night (5) the urgent request for the project that provides for compensation of R$ 27 billion from the Union to the states and the Federal District due to the drop in collection of the Tax on Circulation of Goods and Services (ICMS) on fuels. Deputies are expected to review the proposal next week. The urgency was approved by 305 votes to 89.

Complementary Law Project (PLP) 136/23 provides that the federative units will be rewarded after Complementary Law 194/22, sanctioned during the Bolsonaro government, set a ceiling of 17% to 18% for ICMS on fuel, natural gas, electricity, communications and public transport.

The text of that law provided for compensation, which was questioned in the Federal Supreme Court (STF). The project implements an agreement between the Union and the states, sponsored by the Supreme Court, which provides for reimbursements from 2023 to 2025, informed the Chamber Agency. In practice, the ceiling represented an exemption, since there was no limitation on the ICMS charged on these items, treated as superfluous. With this, the rate that was defined state by state, and could exceed 30% in some cases, was reduced.

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