DOU: 11.22.2005

Version Compiled on 05.06.2012

Conversion of MPV No. 255 of 2005

Establishes the Special Taxation Regime for the Export Platform of Information Technology Services – REPES, the Special Regime for Acquisition of Capital Goods for Exporting Companies – RECAP and the Digital Inclusion Program; provides for tax incentives for technological innovation; amends Decree-Law No. 288, of February 28, 1967, Decree No. 70,235, of March 6, 1972, Decree-Law No. 2,287, of July 23, 1986, Laws No. 4,502, of November 30 of 1964, 8,212, of July 24, 1991, 8,245, of October 18, 1991, 8,387, of December 30, 1991, 8,666, of June 21, 1993, 8,981, of January 20, 1995, 8,987, of February 13, 1995, 8,989, of February 24, 1995, 9,249, of December 26, 1995, 9,250, of December 26, 1995, 9,311, of October 24, 1996, 9,317 of December 5, 1996, 9,430, of December 27, 1996, 9,718, of November 27, 1998, 10,336, of December 19, 2001, 10,438, of April 26, 2002, 10,485, of July 3, 2002, 10,637, of December 30, 2002, 10,755, November 3, 2003, 10,833, December 29, 2003, 10,865, April 30, 2004, 10,925, July 23, 2004, 10,931, August 2, 2004 , 11,033, of December 21, 2004, 11,051, of December 29, 2004, 11,053, of December 29, 2004, 11,101, of February 9, 2005, 11,128, of June 28, 2005, and the Provisional Measure No. 2,199-14, of August 24, 2001; revokes Law no. 8661, of June 2, 1993, and provisions of Laws no. 8668, of June 25, 1993, 8981, of January 20, 1995, 10637, of December 30, 2002, 10755, of December 3 November 2003, 10,865, of April 30, 2004, 10,931, of August 2, 2004, and Provisional Measure No. 2,158-35, of August 24, 2001; and takes other measures.

THE PRESIDENT OF THE REPUBLIC I make it known that the National Congress enacts and I sanction the following Law: 

SPECIAL TAX REGIME FOR THE EXPORT PLATFORM OF INFORMATION TECHNOLOGY SERVICES - REPES

Article 1 The Special Taxation Regime for the Export Platform of Information Technology Services – REPES is hereby instituted, under the terms of this Law. (Regulation)

Single paragraph. The Executive Power will regulate, in a regulation, the necessary conditions for qualification to REPES.

Article 2 A REPES beneficiary is a legal entity that predominantly carries out software development activities or the provision of information technology services, and that, when opting for REPES, assumes an export commitment equal to or greater than fifty percent of its annual gross revenue from the sale of goods and services referred to in this article. (Wording given by Provisional Measure No. 563, of 2012)

§ 1 The gross revenue referred to in the caput of this article will be considered after excluding taxes and contributions levied on the sale.

§ 2 (Revoked by Provisional Measure No. 564 of 2012).

§ 3 (Revoked by Law No. 11,774 of 2008)

Article 3 (Revoked by Law No. 11,774 of 2008)

Article 4 In the case of sale or importation of new goods intended for the development, in the country, of software and information technology services, the requirement is suspended: (Regulation)

I – the Contribution to PIS/Pasep and Cofins levied on the gross revenue from sales in the domestic market, when said goods are acquired by a legal entity beneficiary of Repes for incorporation into its fixed assets;
II – Contribution to PIS/Pasep-Importation and Cofins-Importation, when said goods are imported directly by a legal entity beneficiary of Repes for incorporation into its fixed assets.

§ 1 Invoices relating to the sale referred to in item I of the caput of this article, the expression “Sale made with suspension of the Contribution requirement for PIS/Pasep and Cofins”, with the specification of the corresponding legal provision.
§ 2 In the hypothesis of this article, the percentage of exports dealt with in art. 2 of this Law will be calculated considering the average obtained, from the calendar year subsequent to the beginning of use of the goods acquired under the REPES, during the period of 3 (three) calendar years.

§ 3 The period for starting use referred to in § 2 of this article cannot exceed 1 (one) year, counted from the date of acquisition.

§ 4 The assets benefited by the suspension referred to in the caput of this article will be listed in the regulation. (See Decree No. 5713)

Art. 5th In the case of sale or importation of services intended for the development, in the country, of software and information technology services, the requirement is suspended: (Regulation)

I – the Contribution to PIS/Pasep and Cofins levied on the gross revenue earned by the service provider, when taken by a legal entity beneficiary of Repes;

II – Contribution to PIS/Pasep-Import and Cofins-Import, for services imported directly by a legal entity beneficiary of Repes.

§ 1 Invoices relating to the services referred to in item I of the caput of this article, the expression “Sale of services carried out with suspension of the requirement of the Contribution to PIS/Pasep and Cofins”, with the specification of the corresponding legal provision.

§ 2 In the event of the provisions of this article, the export percentage referred to in art. 2 of this Law will be determined considering the sales made in the calendar year subsequent to the provision of the service acquired with suspension.

§ 3 The services benefited by the suspension referred to in the caput of this article will be listed in the regulation. (See Decree No. 5713)

Art. 6th The suspensions referred to in arts. 4 and 5 of this Law are converted into a 0 (zero) rate after fulfilling the condition referred to in the caput of art. 2 of this Law, subject to the deadlines referred to in §§ 2 and 3 of art. 4 and § 2 of art. 5 of this Law. (Regulation)

Art. 7th Adherence to Repes is conditioned to the legal entity's fiscal regularity in relation to taxes and contributions administered by the Federal Revenue Service of Brazil. (Regulation)

Art. 8th The Repes beneficiary legal entity will have its membership cancelled: (Regulation)

I – in the event of non-compliance with the export commitment referred to in art. 2 of this Law;

II – whenever it is determined that the beneficiary:

a) did not satisfy the conditions or did not meet the requirements for membership; or

b) no longer meets the conditions or meets the requirements for membership;

III – upon request.

§ 1 In the event of cancellation of membership of REPES, the legal entity excluded from it is obliged to pay interest and late payment fine, as provided by law, counted from the date of acquisition in the domestic market or registration of the Import Declaration, as the case may be. , referring to unpaid contributions as a result of the suspension referred to in arts. 4th and 5th of this Law, as a taxpayer, in relation to imported goods or services, or as a person responsible, in relation to goods or services acquired in the domestic market.

§ 2 In the event that payment is not made in accordance with § 1 of this article, an ex-officio assessment will be required, with the application of interest and the fine referred to in the caput of art. 44 of Law No. 9,430, of December 27, 1996.

§ 3 With regard to the Contribution to PIS/Pasep and Cofins, the interest and fine, on arrears or ex officio, referred to in this article will be required:

I – separately, in the event referred to in item I of the heading of this article;

II – together with unpaid contributions, in the event that items II and III of the caput of this article deal with.

§ 4 In the hypotheses dealt with in items I and II of the caput of this article, the legal entity excluded from Repes may only join again after the expiration of a period of 2 (two) years, counted from the date of cancellation.
§ 5 In the event of item I of the caput of this article, the fine, late or ex officio, referred to in §§ 1 and 2 of this article and art. 9 of this Law will be applied to the value of unpaid contributions, proportionally to the difference between the minimum percentage of exports established in art. 2 of this Law and what has actually been achieved.

Art. 9th The transfer of ownership or assignment of use, in any capacity, of goods imported or acquired in the domestic market with suspension of the requirement of contributions referred to in art. 4 of this Law, before converting the rates to 0 (zero), pursuant to the provisions of art. 6 of this Law, will be preceded by payment, by the beneficiary of the REPES, of interest and late payment fine, as provided by law, counted from the date of acquisition or registration of the Import Declaration, as the case may be, as a taxpayer, in relation to imported goods, or as a responsible person, in relation to goods acquired in the domestic market. (Regulation)

§ 1 In the event that the payment is not made in the form of the caput of this article, it will be necessary to issue an official letter, with the application of interest and the fine referred to in the caput of art. 44 of Law No. 9,430, of December 27, 1996.

§ 2 The interest and fine, on arrears or ex officio, referred to in this article shall be required:

I – together with unpaid contributions, in the case of transfer of property carried out before 18 (eighteen) months have elapsed from the occurrence of the triggering events;

II – separately, in the case of transfer of ownership carried out after 18 (eighteen) months have elapsed from the occurrence of the triggering events.
Art. 10. It is forbidden for a legal entity opting for the Integrated System for Payment of Taxes and Contributions for Micro and Small Businesses – Simples to join REPES. (Regulation)

Art. 11. The importation of goods listed by the Executive Power in the form of § 4 of art. 4 of this Law, without a national similar, carried out directly by the beneficiary of Repes for the incorporation to its fixed assets, will be carried out with suspension of the Tax on Industrialized Products – IPI requirement. (Regulation)

§ 1 The suspension referred to in the caput of this article becomes an exemption after fulfilling the conditions referred to in art. 2 of this Law, subject to the deadlines referred to in §§ 2 and 3 of art. 4 of this Law.

§ 2 In the event of cancellation of membership to Repes, pursuant to art. 8 of this Law, the legal entity excluded from it is obliged to pay interest and a late payment fine, as provided by law, counted from the occurrence of the taxable event, referring to the unpaid tax as a result of the suspension referred to in the caput of this article.

§ 3 The transfer of ownership or assignment of use, in any capacity, of imported goods with suspension of the IPI requirement pursuant to the caput of this article, before the provisions of § 1 of this article occur, will be preceded by collection, by the beneficiary of the Repes , interest and late payment fine, as provided by law, counted from the occurrence of the taxable event.

§ 4 In the event that payment is not made pursuant to §§ 2 or 3 of this article, the ex officio assessment of the tax will be required, plus interest and the fine referred to in the caput of art. 44 of Law No. 9,430, of December 27, 1996. 

SPECIAL REGIME FOR THE ACQUISITION OF CAPITAL GOODS FOR EXPORTING COMPANIES - RECAP

Art. 12. The Special Regime for the Acquisition of Capital Goods for Exporting Companies – Recap, is hereby instituted, under the terms of this Law. (Regulation)

Single paragraph. The Executive Power will regulate, in a regulation, the conditions for enabling the Recap.

Art. 13. A predominantly exporting legal entity is a beneficiary of Recap, thus considered one whose gross revenue from exports abroad, in the calendar year immediately prior to joining Recap, was equal to or greater than fifty percent of its total gross sales revenue. of goods and services in the period and that undertakes to maintain this percentage of exports during the period of two calendar years. (Wording given by Provisional Measure No. 563, of 2012)

§ 1 The gross revenue referred to in the caput of this article will be considered after excluding taxes and contributions levied on the sale.

§ 2 The legal entity that is beginning its activity or that has not reached the percentage of export revenue required in the heading of this article in the previous year may qualify for RECAP provided that it assumes a commitment to earn, within a period of three calendar years, gross revenue arising from export abroad of at least fifty percent of its total gross revenue from the sale of goods and services. (Wording given by Provisional Measure No. 563, of 2012)

§ 3 The provisions of this article:
I – does not apply to legal entities opting for Simples and those whose revenues, in whole or in part, are subject to the cumulative levy regime of the Contribution to PIS/Pasep and Cofins;

II – applies to Brazilian naval shipyards, in the case of acquisition or importation of capital goods listed in regulation intended to be incorporated into its fixed assets for use in construction, conservation, modernization, conversion and repair of pre-registered vessels or registered in the Brazilian Special Registry - REB, instituted by Law No. 9,432, of January 8, 1997, regardless of making the commitment to export abroad referred to in the caput and paragraph 2 of this article or having gross revenue from exports to the outside.

§ 4 For legal entities that manufacture the products listed in art. 1 of Law 11,529, of October 22, 2007, the percentages referred to in the caput and paragraph 2 of this article are reduced to 60% (sixty percent). (Included by Law No. 11,774 of 2008)

§ 5 (Revoked by Provisional Measure No. 564 of 2012).

Art. 14. In the case of sale or importation of new machinery, apparatus, instruments and equipment, the requirement is suspended: (Regulation)
I – Contribution to PIS/Pasep and Cofins levied on the gross revenue from sales in the domestic market, when said goods are acquired by a legal entity beneficiary of Recap for incorporation into its fixed assets;

II – Contribution to PIS/Pasep-Import and Cofins-Import, when said goods are imported directly by a legal entity beneficiary of Recap for incorporation into its fixed assets.

§ 1 The suspension benefit referred to in this article may be enjoyed in purchases and imports carried out within a period of 3 (three) years from the date of accession to Recap.

§ 2 The percentage of exports dealt with in the caput and § 2 of art. 13 of this Law will be calculated considering the average obtained, from the calendar year subsequent to the beginning of use of the goods acquired under the Recap, during the period of:

I – 2 (two) calendar years, in the case of the caput of art. 13 of this Law; or

II – 3 (three) calendar years, in the case of § 2 of art. 13 of this Law.

§ 3 The term for starting use referred to in § 2 of this article cannot exceed 3 (three) years.

§ 4 The legal entity that does not incorporate the good to the fixed assets, resells the good before the conversion of the rate to 0 (zero), in the form of § 8 of this article, or does not meet the other conditions referred to in art. 13 of this Law is obliged to pay interest and a late payment fine, as provided by law, counted from the date of acquisition or registration of the Import Declaration - DI, referring to unpaid contributions as a result of the suspension referred to in this article, on condition:

I – as a taxpayer, in relation to the Contribution to PIS/Pasep-Import and Cofins-Import;

II – responsible, in relation to the Contribution to PIS/Pasep and Cofins.

§ 5 In the event that payment is not made in accordance with § 4 of this article, an ex-officio assessment will be required, with the application of interest and the fine referred to in the caput of art. 44 of Law No. 9,430, of December 27, 1996.

§ 6 The interest and fine, on arrears or ex officio, referred to in this article shall be required:

I – separately, in the event that the taxpayer does not reach the percentage of exports dealt with in the caput and § 2 of art. 13 of this Law;

II – together with unpaid contributions, in cases where the legal entity does not incorporate the asset to fixed assets, resells the asset before converting the rate to 0 (zero), pursuant to § 8 of this article, or disregards the other conditions of art. 13 of this Law.

§ 7 The invoices relating to the sale referred to in the caption of this article must contain the expression “Sale made with suspension of the requirement of Contribution to PIS/Pasep and Cofins”, with the specification of the corresponding legal provision.

§ 8 The suspension referred to in this article becomes a 0 (zero) rate after:

I – the conditions referred to in the caput of art. 13, subject to the term referred to in item I of § 2 of this article;

II – once the conditions referred to in § 2 of art. 13 of this Law, subject to the period referred to in item II of § 2 of this article;

III – after the period of 18 (eighteen) months has elapsed, counted from the date of acquisition, in the case of the beneficiary referred to in item II of § 3 of art. 13 of this Law.

§ 9 The legal entity that makes the commitment referred to in § 2 of art. 13 of this Law may also, subject to the same conditions established therein, use the benefit of suspension referred to in art. 40 of Law No. 10,865, of April 30, 2004.

§ 10. In the event of non-compliance with the percentage referred to in the caput and § 2 of art. 13 of this Law, the fine, whether late or ex officio, referred to in § 4 of this article will be applied on the amount of unpaid contributions, proportionally to the difference between the minimum percentage of exports established and the one actually achieved.

Art. 15. Adherence to Recap is conditioned to the legal entity's fiscal regularity in relation to taxes and contributions administered by the Federal Revenue Service of Brazil. (Regulation)

Art. 16. The assets benefited by the suspension of the requirement referred to in art. 14 of this Law will be listed in regulation. (Regulation) 

INCENTIVES TO TECHNOLOGICAL INNOVATION

Art. 17. Legal entities may benefit from the following tax incentives:

I – deduction, for the purposes of calculating net income, of an amount corresponding to the sum of expenditures incurred in the calculation period with technological research and development of technological innovation classifiable as operating expenses under the Corporate Income Tax (IRPJ) legislation or as payment in the manner provided for in § 2 of this article;

II – reduction of 50% (fifty percent) of the Tax on Industrialized Products – IPI levied on equipment, machines, devices and instruments, as well as spare accessories and tools that accompany these goods, intended for research and technological development;

III – full depreciation, in the same year of acquisition, of new machines, equipment, devices and instruments, intended for use in technological research and development of technological innovation activities, for the purpose of calculating IRPJ and CSLL; (Wording provided by Law No. 11,774 of 2008)

IV – accelerated amortization, upon deduction as cost or operating expense, in the calculation period in which they are incurred, of expenditures related to the acquisition of intangible assets, linked exclusively to technological research activities and development of technological innovation, classifiable in the beneficiary's deferred assets , for the purpose of calculating the IRPJ;

V - (Revoked by Provisional Measure No. 497, of 2010)

VI – reduction to 0 (zero) of the withholding income tax rate on remittances made abroad for the registration and maintenance of trademarks, patents and cultivars.

§ 1 Technological innovation is considered to be the design of a new product or manufacturing process, as well as the addition of new functionalities or characteristics to the product or process that imply incremental improvements and effective gains in quality or productivity, resulting in greater competitiveness in the market.

§ 2 The provisions of item I of the caput of this article also apply to expenditures on technological research and development of technological innovation contracted in the country with a university, research institution or independent inventor referred to in item IX of art. 2 of Law No. 10,973, of December 2, 2004, provided that the legal entity that made the expenditure is responsible for, business risk, management and control of the use of the expenditure results.

§ 3 In the event of expenditures on technical, scientific or similar assistance and royalties for industrial patents paid to individuals or legal entities abroad, the deductibility is subject to compliance with the provisions of arts. 52 and 71 of Law no. 4,506, of November 30, 1964.

§ 4 In calculating expenditures on technological research and development of technological innovation, the amounts allocated as non-reimbursable resources by public bodies and entities will not be computed.

§ 5 (Revoked by Provisional Measure No. 497, of 2010)

§ 6 The deduction referred to in item I of the caput of this article applies for the purpose of calculating the calculation basis of the Social Contribution on Net Income – CSLL.

§ 7 The legal entity benefiting from the incentives referred to in this article is obliged to provide, in electronic form, information on the research, technological development and innovation programs, in the form established by regulation.

§ 8 The accelerated depreciation quota referred to in item III of the caput of this article will constitute exclusion from net income for the purpose of determining the taxable income and will be controlled in the fiscal book for calculating the taxable income.

§ 9 The total accumulated depreciation, including accounting and accelerated depreciation, cannot exceed the acquisition cost of the asset.

§ 10. From the calculation period in which the limit referred to in § 9 of this article is reached, the depreciation value recorded in the commercial bookkeeping must be added to the net profit for the purpose of determining the taxable profit.

§ 11. The provisions of §§ 8, 9 and 10 of this article also apply to the amortization quotas dealt with in item IV of the caput of this article. (Included by Law No. 11,487 of 2007)

Art. 18. They may be deducted as operating expenses, pursuant to item I of the caput of art. 17 of this Law and its 6th paragraph, the sums transferred to micro and small companies referred to in Law 9,841, of October 5, 1999, destined for the execution of technological research and development of technological innovation of interest and for account and order of the legal entity that promoted the transfer, even if the legal entity receiving these amounts will have a share in the economic result of the resulting product.

§ 1 The provisions of this article apply to transfers of resources made to an independent inventor referred to in item IX of art. 2 of Law No. 10,973, of December 2, 2004.

§ 2 The amounts received under the heading of this article do not constitute income for micro and small companies, nor income for independent inventors, provided that they are used in full in carrying out research or development of technological innovation.

§ 3 In the hypothesis of § 2 of this article, for micro and small companies referred to in the caput of this article that calculate income tax based on actual profit, the expenditures incurred with the execution of technological research and development of technological innovation do not will be deductible in calculating the actual profit and the CSLL calculation basis.

Art. 19. Without prejudice to art. 17 of this Law, as of calendar year 2006, the legal entity may exclude from the net income, in determining the taxable income and the CSLL calculation base, the amount corresponding to up to 60% (sixty percent) of the sum of expenditures carried out in the calculation period with technological research and development of technological innovation, classifiable as an expense by the IRPJ legislation, in the form of item I of the caput of art. 17 of this Law.

§ 1 The exclusion referred to in the caput of this article may reach up to 80% (eighty percent) of expenditures depending on the number of research employees hired by the legal entity, in the form to be defined in the regulation.

§ 2 In the event of a legal entity dedicated exclusively to research and technological development, partners who carry out research activities may also be considered, in accordance with the regulations.

§ 3 Without prejudice to the provisions of the caput and paragraph 1 of this article, the legal entity may exclude from the net income, in determining the taxable income and the CSLL calculation base, the amount corresponding to up to 20% (twenty percent) of the sum of expenditures or payments linked to technological research and development of technological innovation subject to a granted patent or registered cultivar.

§ 4 For the purposes of the provisions of paragraph 3 of this article, expenditures and payments shall be recorded in the fiscal book for calculating the taxable income and excluded during the period for calculating the granting of the patent or registration of the cultivar.

§ 5 The exclusion dealt with in this article is limited to the value of the actual profit and the CSLL calculation base before the exclusion itself, and the use of any excess in a later calculation period is prohibited.

§ 6 The provisions of § 5 of this article do not apply to the legal entity referred to in § 2 of this article.

Art. 19-A. The legal entity may exclude from the net profit, for the purpose of calculating the taxable profit and the basis for calculating the Social Contribution on Net Profit (CSLL), the expenditures carried out on a scientific and technological research project and technological innovation to be carried out by Scientific and Technological Institution (ICT), referred to in item V of the caput of art. 2 of Law No. 10,973, of December 2, 2004, or by private non-profit scientific and technological entities, as per regulation. (Wording provided by Law No. 12,546, of 2011)

§ 1 The exclusion referred to in the caput of this article: (Included by Law No. 11,487, of 2007)

I – it will correspond, at the choice of the legal entity, to at least half and at most two and a half times the value of the expenditures made, subject to the provisions of §§ 6, 7 and 8 of this article; (Included by Law No. 11,487 of 2007)

II – must be carried out during the calculation period in which the funds are actually spent; (Included by Law No. 11,487 of 2007)

III – is limited to the value of actual profit and the CSLL calculation base before the exclusion itself, with the use of any excess in a subsequent calculation period prohibited. (Included by Law No. 11,487 of 2007)

§ 2 The provisions of the caput of this article only apply to legal entities subject to the tax regime based on taxable income. (Included by Law No. 11,487 of 2007)

§ 3 The expenses referred to in the caput of this article, recorded as an expense or operating cost, must be added to the calculation of the taxable income and the CSLL calculation base. (Included by Law No. 11,487 of 2007)

§ 4 The additions dealt with in § 3 of this article will be proportional to the value of the exclusions referred to in § 1 of this article, when these are less than 100% (one hundred percent). (Included by Law No. 11,487 of 2007)

§ 5 The expenditure amounts will be credited to a bank account maintained at an official federal financial institution, opened directly in the name of ICT, linked to the execution of the project and operated for this sole purpose. (Included by Law No. 11,487 of 2007)

§ 6 The participation of the legal entity in the ownership of the rights over the creation and industrial and intellectual property generated by a project will correspond to the ratio between the difference in the amount spent by the legal entity and the amount of the effective tax benefit used, on the one hand, and the amount of the project, on the other, with ICT taking the remaining part. (Included by Law No. 11,487 of 2007)

§ 7 The transfer of technology, licensing for the granting of rights of use and the exploitation or provision of services may be the subject of a contract between the legal entity and the ICT, pursuant to the legislation, observing the rights of each party, under the terms of § § 6 and 8, both of this article. (Included by Law No. 11,487 of 2007)

§ 8 Only projects submitted by the ICT that have been previously approved by a permanent committee for monitoring scientific and technological research and technological innovation actions, made up of representatives of the Ministry of Science and Technology, the Ministry of Development, Industry and Foreign Trade and the Ministry of Education, in the form of the regulation. (Included by Law No. 11,487 of 2007)

§ 9 The resource received under the heading of this article constitutes the beneficiary ICT's own revenue, for all legal purposes, as provided in art. 18 of Law No. 10,973, of December 2, 2004. (Included by Law No. 11,487, of 2007)

§ 10. The provisions of this article apply, as applicable, to Law No. 10,973, of December 2, 2004, especially its arts. 6th to 18th. (Included by Law No. 11,487, of 2007)

§ 11. The tax incentive referred to in this article cannot be combined with the tax incentive regime for technological research and technological innovation, provided for in arts. 17 and 19 of this Law, nor with the deduction referred to in item II of § 2 of art. 13 of Law No. 9,249, of December 26, 1995, regarding projects developed by ICT with resources expended in the form of the caput of this article. (Included by Law No. 11,487 of 2007)

§ 12. The Executive Power will regulate this article. (Included by Law No. 11,487 of 2007)

Art. 20. For the purposes of the provisions of this Chapter, the amounts related to expenditures incurred in fixed installations and in the acquisition of apparatus, machinery and equipment, intended for use in research and technological development projects, metrology, technical standardization and conformity assessment, applicable to products, processes, systems and personnel, authorization procedures for registrations, licenses, approvals and their related forms, as well as procedures relating to the protection of intellectual property, may be depreciated or amortized in accordance with current legislation, and the balance may not be depreciated or not amortized be excluded in the determination of actual profit, in the calculation period in which its use is completed.

§ 1 The value of the balance excluded in the form of the caput of this article must be controlled in the fiscal book for calculating the taxable profit and will be added, in the determination of the taxable profit, in each subsequent calculation period, by the value of the normal depreciation or amortization that may be accounted for as an operating expense.

§ 2 The legal entity benefiting from accelerated depreciation or amortization pursuant to items III and IV of the caput of art. 17 of this Law cannot use the benefit referred to in the caput of this article in relation to the same assets.

§ 3 The accelerated depreciation or amortization dealt with in items III and IV of the caput of art. 17 of this Law, as well as the exclusion of the non-depreciated or non-amortized balance pursuant to the caput of this article, do not apply for the purpose of calculating the CSLL calculation base.

Art. 21. The Union, through science and technology development agencies, may subsidize the remuneration of researchers, with masters or doctors degrees, employed in technological innovation activities in companies located in Brazilian territory, in the form of the regulation.

Single paragraph. The value of the subsidy referred to in the caput of this article will be:

I - up to 60% (sixty percent) for legal entities in the areas of operation of the extinct Sudene and Sudam

II – up to 40% (forty percent), in other regions.

Art. 22. The expenditures and payments referred to in arts. 17 to 20 of this Law:

I – they will be controlled in specific accounts;

II – may only be deducted if paid to individuals or legal entities resident and domiciled in the country, with the exception of those mentioned in items V and VI of the caput of art. 17 of this Law.

Art. 23. The enjoyment of the tax benefits and subsidy referred to in arts. 17 to 21 of this Law is conditioned to proof of the legal entity's fiscal regularity.

Art. 24. Failure to comply with any obligation assumed to obtain the incentives dealt with in arts. 17 to 22 of this Law, as well as the improper use of the tax incentives referred to therein, imply the loss of the right to the incentives not yet used and the payment of the amount corresponding to the taxes not paid as a result of the incentives already used, plus interest and fines, late payment or ex officio, provided for in the tax legislation, without prejudice to the applicable criminal sanctions.

Art. 25. The Industrial Technological Development Programs - PDTI and the Agricultural Technological Development Programs - PDTA and the projects approved up to December 31, 2005 will be governed by the legislation in force on the date of publication of Provisional Measure No. 252, of June 15, 2005, authorized migration to the regime provided for in this Law, as disciplined in regulation.

Art. 26. The provisions of this Chapter do not apply to legal entities that use the benefits dealt with in Laws 8,248, of October 23, 1991, 8,387, of December 30, 1991, and 10,176, of January 11, 2001, observing the art. 27 of this Law.

§ 1 The legal entity referred to in the caput of this article, in relation to IT and automation activities, may deduct, for the purpose of calculating the actual profit and the CSLL calculation base, the amount corresponding to up to 160% (one hundred and sixty percent) of expenditures made in the calculation period with technological research and development of technological innovation. (Included by Law No. 11,774 of 2008)

§ 2 The deduction referred to in § 1 of this article may reach up to 180% (one hundred and eighty percent) of expenditures depending on the number of research employees hired by the legal entity, in the form to be defined in the regulation. (Included by Law No. 11,774 of 2008)

§ 3 From the calculation period in which the deduction referred to in § 1 of this article occurs, the value of the depreciation or amortization related to the expenditures, as the case may be, recorded in the commercial bookkeeping must be added to the net profit for the purpose of determining the profit real. (Included by Law No. 11,774 of 2008)

§ 4 The legal entity referred to in the caput of this article that performs other activities in addition to those that generated the benefits referred to therein may enjoy, in relation to these activities, the benefits referred to in this Chapter. (Included by Law No. 11,774 of 2008)

Art. 27???????? (VETOED)

CHAPTER IV 

DIGITAL INCLUSION PROGRAM

Art. 28. The PIS/Pasep and Cofins Contribution rates levied on gross retail sales revenue are reduced to 0 (zero): (See Decree No. 4,542, of 2002)

I – digital processing units classified under code 8471.50.10 of the IPI Incidence Table – TIPI;

II - automatic machines for data processing, digital, portable, weighing less than 3.5Kg (three and a half kilos), with a screen (screen) of an area greater than 140cm2 (one hundred and forty square centimeters), classified under codes 8471.30 .12, 8471.30.19 or 8471.30.90 from Tipi;

III – of automatic data processing machines, presented in the form of systems, of Tipi code 8471.49, containing exclusively 1 (one) digital processing unit, 1 (one) video output unit (monitor), 1 (one ) keyboard (input unit), 1 (one) mouse (input unit), classified, respectively, in codes 8471.50.10, 8471.60.7, 8471.60.52 and 8471.60.53 of Tipi;

IV – keyboard (input unit) and mouse (input unit) classified, respectively, in codes 8471.60.52 and 8471.60.53 of Tipi, when accompanying the digital processing unit classified in code 8471.50.10 of Tipi.

V – modems, classified under headings 8517.62.55, 8517.62.62 or 8517.62.72 of Tipi. (Included by Law No. 12,431 of 2011).

VI – automatic data processing machines, portable, without a keyboard, having a central processing unit with input and output of data through a touch-sensitive screen with an area greater than 140 cm² (one hundred and forty square centimeters) and less to 600 cm² (six hundred square centimeters) and that do not have a remote control function (tabletPC) classified in subheading 8471.41 of Tipi, produced in the country according to the basic production process established by the Executive Branch. (Wording provided by Law No. 12,507 of 2011)

§ 1 The products dealt with in this article will comply with the terms and conditions established in the regulation, including the value and technical specifications.

§ 2 The provisions of this article also apply to acquisitions carried out by legal entities governed by private law or by bodies and entities of the Federal, State or Municipal Public Administration and the Federal District, directly or indirectly, to foundations established and maintained by the Government and to other organizations under the direct or indirect control of the Union, the States, the Municipalities or the Federal District.

§ 3 The provisions of the caput of this article also apply to sales made to leasing companies.

§ 4 Invoices issued by the producer, wholesaler and retailer relating to the sale of products referred to in item VI of the caput, must contain the expression “Product manufactured according to the basic production process”, with the specification of the act that approves the basic production process respective. (Wording provided by Law No. 12,507 of 2011)
Art. 29. In sales made pursuant to art. 28 of this Law does not apply to the withholding tax of the Contribution for PIS/Pasep and Cofins referred to in art. 64 of Law no. 9,430, of December 27, 1996, and art. 34 of Law No. 10,833, of December 29, 2003.

Art. 30. The provisions of arts. 28 and 29 of this Law:

I – do not apply to sales made by companies opting for Simples;

II – apply to sales made up to December 31, 2014. (Wording provided by Law No. 12,249, of 2010) 

CHAPTER V 

INCENTIVES TO MICRO-REGIONS IN THE AREAS OF OPERATION OF THE EXTINCTED SUDENE AND SUDAM

Art. 31. Without prejudice to the other rules in force applicable to the matter, for goods acquired from the calendar year 2006 until December 31, 2013, legal entities that have an approved project for installation, expansion, modernization or diversification within sectors of the economy considered a priority for regional development, in less developed micro-regions located in the areas where the extinct Sudene and Sudam operate, will be entitled to:

I – accelerated depreciation encouraged, for the purpose of calculating income tax;

II – discount, within a period of 12 (twelve) months from the date of acquisition, of the PIS/Pasep and Cofins Contribution credits dealt with in item III of § 1 of art. 3 of Law no. 10,637, of December 30, 2002, item III of § 1 of art. 3 of Law no. 10,833, of December 29, 2003, and § 4 of art. 15 of Law No. 10,865, of April 30, 2004, in the event of the acquisition of new machines, devices, instruments and equipment, listed in the regulation, intended for incorporation into its fixed assets.

§ 1 The micro-regions reached, as well as the limits and conditions for enjoying the benefit referred to in this article, will be defined in a regulation.

§ 2 The enjoyment of this benefit is subject to the enjoyment of the benefit referred to in art. 1 of Provisional Measure No. 2.199-14, of August 24, 2001.

§ 3 The accelerated incentivized depreciation referred to in the caput of this article consists of full depreciation, in the same year of acquisition.

§ 4 The accelerated depreciation quota, corresponding to the benefit, will be excluded from net income for purposes of determining taxable income and will be recorded in the fiscal book for calculating taxable income.

§ 5 The total accumulated depreciation, including normal and accelerated depreciation, cannot exceed the acquisition cost of the asset.

§ 6 From the calculation period in which the limit referred to in § 5 of this article is reached, the normal depreciation value, recorded in the commercial bookkeeping, will be added to the net profit for the purpose of determining the taxable profit.

§ 7 The credits dealt with in item II of the caput of this article will be calculated by applying, each month, the rates referred to in the caput of art. 2 of Law no. 10,637, of December 30, 2002, and in the caput of art. 2 of Law 10,833, of December 29, 2003, on the amount corresponding to 1/12 (one twelfth) of the cost of acquisition of the asset.

§ 8 Unless expressly authorized by law, the tax benefits referred to in this article cannot be enjoyed cumulatively with others of the same nature.

Art. 32. Article 1 of Provisional Measure No. 2.199-14, of August 24, 2001, becomes effective with the following wording:

“Article 1 Without prejudice to the other rules in force applicable to the matter, as of the calendar year 2000, legal entities that have a project filed and approved by December 31, 2013 for installation, expansion, modernization or diversification within the considered sectors of the economy, in an act of the Executive Power, priorities for regional development, in the areas of operation of the extinct Superintendence of Development of the Northeast – Sudene and Superintendence of Development of the Amazon – Sudam, will be entitled to a reduction of 75% (seventy-five percent) of the tax on rent and surcharges, calculated based on operating profit.

§ 1 The enjoyment of the tax benefit referred to in the caput of this article will take place from the calendar year subsequent to that in which the installation, expansion, modernization or diversification project comes into operation, according to the report issued by the Ministry of National Integration until the last business day of March of the calendar year subsequent to the start of the operation.
…………………………………………………………………………….
§ 3 The term of enjoyment of the tax benefit will be 10 (ten) years, counted from the calendar year in which it begins to be enjoyed.
………………………………………………………………………………….” (NR) 

THE INTEGRATED SYSTEM FOR PAYMENT OF TAXES AND CONTRIBUTIONS OF MICRO-ENTERPRISES AND SMALL BUSINESSES - SIMPLES

Art. 33. Arts. 2 and 15 of Law No. 9,317, of December 5, 1996, are now in force with the following wording:

“Article 2 …………………………………………………………………………….

I – micro-enterprise the legal entity that has earned, in the calendar year, gross revenue equal to or less than R$ 240,000.00 (two hundred and forty thousand reais);

II – small business the legal entity that has earned, in the calendar year, gross revenue greater than R$ 240,000.00 (two hundred and forty thousand reais) and equal to or less than R$ 2,400,000.00 (two million and four hundred thousand real).

………………………………………………………………………………….” (NR)
“Art. 15. …………………………………………………………………………….
…………………………………………………………………………….

II – from the month following the one in which the exclusionary situation is incurred, in the hypotheses dealt with in items III to XIV and XVII to XIX of the caput of art. 9 of this Law;
…………………………………………………………………………….

VI – from the calendar year subsequent to that of the acknowledgment of the declaratory act of exclusion, in the cases of items XV and XVI of the caput of art. 9 of this Law.
…………………………………………………………………………….

§ 5 In the event of item VI of the caput of this article, the legal entity will be allowed to remain as an opting for Simples upon proof, at the Federal Revenue of Brazil unit with jurisdiction over its tax domicile, of the discharge of the registered debt within a period of up to 30 (thirty) days counted from the acknowledgment of the declaratory act of exclusion.” (NR

CHAPTER VII 

CORPORATE INCOME TAX - IRPJ AND SOCIAL CONTRIBUTION ON NET INCOME - CSLL

Art. 34. Arts. 15 and 20 of Law No. 9,249, of December 26, 1995, are now in force with the following wording:

“Art. 15. …………………………………………………………………………….
…………………………………………………………………………….

§ 4 The percentage referred to in this article will also be applied to the financial income of the legal entity that explores real estate activities related to the subdivision of land, real estate development, construction of buildings intended for sale, as well as the sale of properties built or acquired for resale, when arising from the sale of real estate and calculated using indices or coefficients provided for in the contract.” (NR)

“Art. 20. …………………………………………………………………………….

§ 1 The legal entity subject to the presumed profit may, exceptionally, in relation to the 4th (fourth) calendar quarter of 2003, opt for the actual profit, being definitive the taxation for the presumed profit related to the first 3 (three) quarters.

§ 2 The percentage referred to in the caput of this article will also be applied to the financial income referred to in § 4 of art. 15 of this Law.” (NR)

Art. 35. The caput of art. 1 of Law No. 11,051, of December 29, 2004, becomes effective with the following wording: (See Measure No. 340, of 2006)

“Article 1 Legal entities taxed based on taxable income may use credit related to the Social Contribution on Net Income - CSLL, at the rate of 25% (twenty-five percent) on the accounting depreciation of machines, devices, instruments and equipment, new, related by regulation, acquired between October 1, 2004 and December 31, 2006, destined to fixed assets and used in the acquirer's industrial process.
………………………………………………………………………………….” (NR)

Art. 36. The Minister of Finance is authorized to institute, for a certain period, an adjustment mechanism for the purposes of determining transfer prices, in relation to the provisions of the caput of art. 19 of Law No. 9,430, of December 27, 1996, as well as the calculation methods that you specify, applicable to exports, in order to reduce impacts related to the appreciation of the national currency in relation to other currencies.

Single paragraph. The General Secretary of the Federal Revenue Service of Brazil may determine the application of the adjustment mechanism referred to in the caput of this article to the hypotheses referred to in art. 45 of Law No. 10,833, of December 29, 2003.

Art. 37. The difference between the value of the charge arising from the annual depreciation rates set by the Federal Revenue of Brazil and the value of the charge accounted for arising from the annual depreciation rates set by the specific legislation applicable to property, plant and equipment, except land, acquired or built by companies concessionaires, permit holders and authorizations for the generation of electricity, may be excluded from the net income for the determination of the taxable income and the CSLL calculation base.

§ 1 The provisions of the caput of this article apply only to new assets acquired or built from the date of publication of this Law until December 31, 2013.

§ 2 The difference between the values of the charges dealt with in the caput of this article will be controlled in the tax book for the calculation of taxable income.

§ 3 The total accumulated depreciation, including accounting and tax, cannot exceed the cost of the depreciated asset.

§ 4 From the calculation period in which the limit referred to in § 3 of this article is reached, the depreciation value recorded in the commercial bookkeeping will be added to the net profit, for the purpose of determining the taxable profit and the CSLL calculation basis, with the concomitant write-off in the control account of the fiscal book for calculating the actual profit.

§ 5 The provisions of this article only produce tax effects, do not change the attributions and powers established in the legislation for the performance of the National Electric Energy Agency - ANEEL and may not directly or indirectly affect the increase in prices and tariffs for electricity.

INDIVIDUAL INCOME TAX - IRPF

Art. 38. Article 22 of Law No. 9,250, of December 26, 1995, becomes effective with the following wording:

“Art. 22. The capital gain earned on the disposal of assets and rights of small value, whose unit price of disposal, in the month in which it takes place, is equal to or less than:

I – R$ 20,000.00 (twenty thousand reais), in the case of sale of shares traded on the over-the-counter market;

II – R$ 35,000.00 (thirty-five thousand reais), in other cases.
………………………………………………………………………………….” (NR)

Art. 39. Gains earned by individuals residing in the country on the sale of residential properties are exempt from income tax, provided that the seller, within a period of 180 (one hundred and eighty) days from the conclusion of the contract, applies the proceeds from the sale to the acquisition of residential properties located in the country.

§ 1 In the case of sale of more than 1 (one) property, the term referred to in this article will be counted from the date of conclusion of the contract related to the 1st (first) operation.

§ 2 The partial application of the proceeds from the sale will imply taxation of the gain proportionally to the value of the portion not applied.

§ 3 In the case of acquisition of more than one property, the exemption referred to in this article will apply to the capital gain corresponding only to the portion used in the acquisition of residential properties.

§ 4 Failure to comply with the conditions set out in this article will result in a tax requirement based on the capital gain, plus:

I – interest on arrears, calculated from the 2nd (second) month following the receipt of the amount or part of the value of the property sold; It is

II – fine, on arrears or ex officio, calculated from the 2nd (second) month following the receipt of the value or part of the value of the property sold, if the tax is not paid within 30 (thirty) days after the period of that deals with the caput of this article.

§ 5 The taxpayer can only enjoy the benefit referred to in this article 1 (once) every 5 (five) years.
Art. 40. In order to calculate the basis for calculating the income tax levied on the capital gain on the occasion of the sale, in any capacity, of real estate carried out by an individual resident in the country, reduction factors (FR1 and FR2) of the gain will be applied of established capital.

§ 1 The tax calculation base will correspond to the multiplication of the capital gain by the reduction factors, which will be determined by the following formulas:

I – FR1 = 1/1.0060m1, where “m1” corresponds to the number of calendar months or fraction elapsed between the date of acquisition of the property and the month of publication of this Law, including in the event that the sale takes place in said month;

II – FR2 = 1/1.0035m2, where “m2” corresponds to the number of calendar months or fraction elapsed between the month following the publication of this Law or the month of acquisition of the property, if later, and its sale.

§ 2 In the event of real estate acquired up to December 31, 1995, the reduction factor referred to in item I of § 1 of this article will be applied from January 1, 1996, without prejudice to the provisions of art. 18 of Law No. 7,713, of December 22, 1988. 

CHAPTER IX 

CONTRIBUTION TO PIS/PASEP AND COFINS

Art. 41. § 8 of art. 3 of Law No. 9,718, of November 27, 1998, shall come into force with the addition of the following item III:

“Article 3 …………………………………………………………………………….
…………………………………………………………………………….

§ 8 …………………………………………………………………………….
…………………………………………………………………………….

III – agricultural, pursuant to an act of the National Monetary Council.
………………………………………………………………………………….” (NR)

Art. 42. Article 3 of Law No. 10,485, of July 3, 2002, becomes effective with the following wording:

“Article 3 …………………………………………………………………………….
…………………………………………………………………………….

§ 3 Payments related to the acquisition of auto parts included in Annexes I and II of this Law are subject to withholding tax on the Contribution for PIS/Pasep and Cofins, except for tires, when made by a manufacturing company:

I – of parts, components or assemblies intended for the products listed in art. 1 of this Law;

II – of products listed in art. 1 of this Law.

§ 4 The amount to be withheld pursuant to paragraph 3 of this article constitutes an advance on the contributions due by the supplying legal entities and will be determined by applying, on the amount to be paid, the percentage of 0.1% (one tenth of a percent) for the Contribution to PIS/Pasep and 0.5% (five tenths of a percent) for Cofins.

§ 5 The amount withheld in the fortnight must be collected by the last business day of the fortnight following the one in which the payment occurred.
…………………………………………………………………………….

§ 7 The withholding tax referred to in § 3 of this article:

I – does not apply in the case of payment made to a legal entity opting for the Integrated System for Payment of Taxes and Contributions for Micro and Small Businesses – Simple and to a wholesaler or retailer;

II – also covers payments made for industrialization services in the case of industrialization to order.” (NR)

Art. 43. Arts. 2, 3, 10 and 15 of Law No. 10,833, of December 29, 2003, are now in force with the following wording:

“Art. 2nd …………………………………………………………………………….
…………………………………………………………………………….

§ 3 The Executive Power is authorized to reduce to 0 (zero) and to reinstate the rate levied on gross revenue arising from the sale of chemical and pharmaceutical products, classified in Chapters 29 and 30, on products intended for use in hospitals, clinics and doctors' offices and dental, health campaigns carried out by the Government, laboratory of pathological anatomy, cytology or clinical analysis, classified in headings 30.02, 30.06, 39.26, 40.15 and 90.18, and on semens and embryos in heading 05.11, all of Tipi.
………………………………………………………………………………….” (NR)

“Art. 3rd …………………………………………………………………………….
…………………………………………………………………………….

VI – machinery, equipment and other assets incorporated into fixed assets, acquired or manufactured for leasing to third parties, or for use in the production of goods intended for sale or provision of services;
…………………………………………………………………………….

§ 21. The costs referred to in items of

§ 2 of this article.” (NR)

“Art. 10. …………………………………………………………………………….
…………………………………………………………………………….

XXVI – revenues related to real estate resale activities, dismemberment or allotment of land, real estate development and construction of a building intended for sale, when resulting from long-term contracts signed before October 31, 2003;

XXVII - (VETOED)
………………………………………………………………………………….” (NR)

“Art. 15. …………………………………………………………………………….
…………………………………………………………………………….

V – in items VI, IX to XXVII of the caput and in §§ 1 and 2 of art. 10 of this Law;
………………………………………………………………………………….” (NR)

Art. 44. Arts. 7, 8, 15, 28 and 40 of Law No. 10,865, of April 30, 2004, are now in force with the following wording:
“Art. 7th ………………………………………………………………………………….
…………………………………………………………………………….

§ 5 For the purposes of the provisions of § 4 of this article, the portion referred to in paragraph e of item V of art. 13 of Complementary Law No. 87, of September 13, 1996.” (NR)

“Art. 8th …………………………………………………………………………….
…………………………………………………………………………….

§ 11. …………………………………………………………………………….
…………………………………………………………………………….

II – products intended for use in hospitals, clinics and medical and dental offices, health campaigns carried out by the Government and pathological anatomy, cytological or clinical analysis laboratories, classified in positions 30.02, 30.06, 39.26, 40.15 and 90.18 of the NCM.

§ 12. …………………………………………………………………………….
…………………………………………………………………………….

XIII – non-alcoholic composite preparations, classified under code 2106.90.10 Ex 01 of Tipi, intended for the manufacture of beverages by industrial legal entities of the products referred to in art. 49 of Law No. 10,833, of December 29, 2003.
………………………………………………………………………………….” (NR)

“Art. 15. …………………………………………………………………………….
…………………………………………………………………………….

V – machinery, equipment and other assets incorporated into fixed assets, acquired for leasing to third parties or for use in the production of goods intended for sale or provision of services.
………………………………………………………………………………….” (NR)
“Art. 28. ……………………………………………………………………………….
…………………………………………………………………………….

VII – non-alcoholic composite preparations, classified under code 2106.90.10 Ex 01 of Tipi, intended for the preparation of beverages by industrial legal entities of the products referred to in art. 49 of Law No. 10,833, of December 29, 2003.
………………………………………………………………………………….” (NR)

“Art. 40. …………………………………………………………………………….

§ 1 For the purposes of the provisions of the caput of this article, a predominantly exporting legal entity is one whose gross revenue from exports abroad, in the calendar year immediately preceding the acquisition, was equal to or greater than 80% (eighty percent) of its total gross revenue from the sale of goods and services in the same period, after excluding taxes and contributions levied on the sale.
………………………………………………………………………………….” (NR)

Art. 45. Article 3 of Law No. 10,637, of December 30, 2002, becomes effective with the following wording:

“Article 3 …………………………………………………………………………….
…………………………………………………………………………….

VI – machines, equipment and other assets incorporated into fixed assets, acquired or manufactured for leasing to third parties or for use in the production of goods intended for sale or provision of services.
…………………………………………………………………………….

§ 13. The costs referred to in items of

§ 2 of this article.” (NR)
Art. 46. Arts. 2, 10 and 30 of Law No. 11,051, of December 29, 2004, are now in force with the following wording:

“Art. 2nd (VETOED)

§ 1 (VETOED)

§ 2 The provisions of this article apply to acquisitions made after October 1, 2004.” (NR)

“Art. 10. …………………………………………………………………………….
…………………………………………………………………………….

III – for auto parts listed in Annexes I and II of Law No. 10,485, of July 3, 2002:

a) in item I of art. 3 of Law No. 10,485, of July 3, 2002, in the case of sale to legal entities listed therein; or

b) in item II of art. 3 of Law No. 10,485, of July 3, 2002, in the case of sale to the legal entities listed therein;
…………………………………………………………………………….

§ 2 The Contribution to PIS/Pasep and Cofins will be levied on the gross revenue earned by the legal entity executing the order at the rates of 1.65% (one whole sixty-five hundredths per cent) and 7.6% (seven whole six tenths per percent), respectively.

§ 3 For the purposes of this article, the concepts of industrialization by order of the Tax on Industrialized Products - IPI apply.” (NR)

“Art. 30. Cooperative credit and road freight transport companies, when calculating the amounts owed by way of Cofins and PIS-invoicing, may exclude from the calculation base the income resulting from the cooperative act, applying, where appropriate, the provisions of art. 15 of Provisional Measure No. 2.158-35, of August 24, 2001, and other rules relating to agricultural production and infrastructure cooperatives.” (NR)

Art. 47. The use of the credit referred to in item II of the caput of art. 3 of Law no. 10,637, of December 30, 2002, and item II of the caput of art. 3 of Law No. 10,833, of December 29, 2003, in the acquisition of waste, waste or shavings of plastic, paper or cardboard, glass, iron or steel, copper, nickel, aluminum, lead, zinc and tin, classified respectively in positions 39.15, 47.07, 70.01, 72.04, 74.04, 75.03, 76.02, 78.02, 79.02 and 80.02 of the Table of Incidence of the Tax on Industrialized Products - TIPI, and other waste and metallic residues of Chapter 81 of the Tipi.

Art. 48. The incidence of the Contribution to PIS/Pasep and Cofins is suspended in the case of sale of waste, waste or shavings referred to in art. 47 of this Law, for legal entities that determine income tax based on taxable income.

Single paragraph. The suspension referred to in the caput of this article does not apply to sales made by legal entities opting for Simples.

Art. 49. The requirement of the PIS/Pasep and Cofins Contribution levied on the revenue earned by the manufacturer in the sale to a company headquartered abroad for delivery in national territory of packaging material to be fully used in the packaging of goods destined for export to the outside.

§ 1 The suspension referred to in the caput of this article becomes a 0 (zero) rate after the export of the packaged goods.

§ 2 Invoices relating to sales with suspension referred to in the caput of this article must include the expression “Exit with suspension of the Contribution requirement for PIS/Pasep and Cofins”, with the specification of the corresponding legal provision.

§ 3 The benefit referred to in this article can only be enjoyed after complying with the terms and conditions established in regulations of the Executive Branch.

§ 4 The legal entity that, within a period of 180 (one hundred and eighty) days, counted from the date on which the sale operation was carried out, has not exported the goods packaged abroad with the packaging material received with suspension of the requirement of Contribution to PIS/Pasep and Cofins is obliged to pay these contributions, plus interest and late payment fine, as provided by law, counted from the said date of sale, as responsible person.

§ 5 In the event that payment is not made in accordance with § 4 of this article, an ex-officio assessment will be required, with the application of interest and the fine referred to in the caput of art. 44 of Law No. 9,430, of December 27, 1996.

§ 6 In the hypotheses dealt with in §§ 4 and 5 of this article, the legal entity that manufactures the packaging material will be jointly and severally liable with the legal entity receiving these products for the payment of due contributions and respective legal additions.

Art. 50. The suspension referred to in § 1 of art. 14 of Law No. 10,865, of April 30, 2004, also applies to imports of new machines, devices, instruments and equipment, for incorporation into the fixed assets of the importing legal entity. (See Decree No. 5691)
§ 1 The suspension referred to in the caput of this article becomes a 0 (zero) rate after 18 (eighteen) months have elapsed since the incorporation of the good to the fixed assets of the importing legal entity.

§ 2 The importing legal entity that does not incorporate the good to its fixed assets or resells the good before the deadline referred to in § 1 of this article will pay the Contribution to PIS/Pasep-Importation and Cofins-Importation, plus interest and a fine of lives, as provided by law, counted from the registration of the Import Declaration.

§ 3 In the event that the payment is not made in accordance with § 2 of this article, the contributions will be issued ex officio, plus interest and the fine referred to in the caput of art. 44 of Law No. 9,430, of December 27, 1996.

§ 4 The machines, devices, instruments and equipment benefiting from the suspension of the requirement of contributions in the form of this article will be listed in the regulation.

Art. 51. The caput of art. 1 of Law No. 10,925, of July 23, 2004, becomes effective with the addition of the following items:

“Art. 1st …………………………………………………………………………….
…………………………………………………………………………….

XI – pasteurized or industrialized fluid milk, in the form of ultra-pasteurized, and powdered milk, whole or skimmed, intended for human consumption;

XII – Mozzarella, Minas, Prato, Coalho cheese, ricotta and curd cheeses.
………………………………………………………………………………….” (NR)
Art. 52. Special Customs Regime for Importation of packages referred to in paragraph b of item II of the caput of art. 51 of Law No. 10,833, of December 29, 2003, which allows the calculation of the Contribution to PIS/Pasep-Import and Cofins-Import using the established rates: (See Decree No. 5652)

I – in line b of item II of the caput of art. 51 of Law No. 10,833, of December 29, 2003, in the case of importation of packaging intended for bottling water and soft drinks;

II – in items I and II of the head provision of art. 8 of Law No. 10,865, of April 30, 2004, in the case of importation of packaging intended for bottling other products.

Single paragraph. The Executive Power will regulate, in a regulation, the necessary conditions for qualification to the regime referred to in the caput of this article.

Art. 53. You can only qualify for the regime referred to in art. 52 of this Law to the commercial legal entity that imports the packaging referred to therein to resell them directly to the industrial legal entity. (See Decree No. 5652)

Single paragraph. The industrial legal entity will be jointly and severally liable with the importing commercial legal entity regarding the payment of the Contribution to PIS/Pasep-Import and Cofins-Import.

Art. 54. If, in the registration of the Import Declaration - DI, the importing commercial legal entity, qualified for the regime referred to in art. 52 of this Law, not knowing the destination of the packages, the collection of the Contribution for PIS/Pasep-Import and Cofins-Import will be carried out by estimate based on sales of the last 3 (three) months. (Wording provided by Law No. 11,774 of 2008)

§ 1 In the event of underpayment of the Contribution to PIS/Pasep-Importation and Cofins-Importation, depending on the destination given to the packages after their importation, the difference, in the calculation period in which it occurs, will be collected from the National Treasury with the addition interest on arrears and fines, on arrears or ex officio, calculated from the date of registration of the Import Declaration - DI.

§ 2 If, during the period of 12 (twelve) months prior to the month of importation, depending on the estimate, for 4 (four) consecutive months of calculation or 6 (six) alternate months, the underpayment of the Contribution to PIS occurs in each month /Pasep-Importation and Cofins-Importation exceeding 20% (twenty percent) of the amount due, the importing commercial legal entity will be excluded from the regime. (Wording provided by Law No. 11,774 of 2008)

Art. 55. The sale or import of machinery and equipment used in the manufacture of paper intended for newspaper printing or paper classified under codes 4801.00.10, 4801.00.90, 4802.61.91, 4802.61.99, 4810.19.89 and 4810.22.90, all of Tipi, intended for the printing of periodicals, will be carried out with suspension of the requirement: (Regulation)

I – Contribution to PIS/Pasep and Cofins levied on the gross revenue from sales in the domestic market, when said goods are acquired by an industrial legal entity to be incorporated into its fixed assets; or

II – Contribution to PIS/Pasep-Import and Cofins-Import, when said goods are imported directly by an industrial legal entity for incorporation into its fixed assets.

§ 1 The benefit of suspension discussed in this article:

I – applies only in the case of acquisitions or imports made by a legal entity that earns, with the sale of the securities referred to in the caput of this article, an amount equal to or greater than 80% (eighty percent) of its gross revenue from the total sale of securities ;

II – does not apply in the case of acquisitions or imports carried out by legal entities opting for Simples or whose revenues, in whole or in part, are subject to the cumulative incidence of the Contribution to PIS/Pasep and Cofins; It is

III – may be used in purchases or imports made up to April 30, 2008 or until domestic production meets 80% (eighty percent) of domestic consumption.

§ 2 The percentage referred to in item I of § 1 of this article will be determined:

I – after excluding taxes and contributions levied on the sale; It is

II – considering the average obtained, from the beginning of use of the good acquired with suspension, during the period of 18 (eighteen) months.

§ 3 The term for starting use referred to in § 2 of this article cannot exceed 3 (three) years.

§ 4 The suspension referred to in this article becomes a rate of 0 (zero) after fulfilling the condition referred to in item I of § 1 of this article, subject to the deadlines determined in §§ 2 and 3 of this article.

§ 5 If the asset is not incorporated into fixed assets or resold before the rate is reduced to 0 (zero), pursuant to paragraph 4 of this article, the contributions not paid as a result of the suspension referred to in this article will be due, plus interest and fine, on arrears or ex officio, as provided by law, counted from the date of acquisition or registration of the Import Declaration - DI, as responsible person, in relation to the Contribution to PIS/Pasep and to Cofins, or taxpayer, in relation to the Contribution for PIS/Pasep-Import and Cofins-Import.

§ 6 The invoices relating to the sale referred to in item I of the caption of this article must contain the expression “Sale made with suspension of the requirement of the Contribution to PIS/Pasep and Cofins”, with the specification of the corresponding legal provision.

§ 7 In the event of non-compliance with the percentage of sale of papers established in item I of § 1 of this article, the fine, for late payment or ex officio, referred to in § 5 of this article, will be applied on the value of non-payment contributions. collected, proportionally to the difference between this percentage of sales and the percentage actually achieved.

§ 8 The use of the suspension benefit referred to in this article:

I – it is conditioned to the fiscal regularity of the legal entity acquiring or importing the machinery and equipment, in relation to the taxes and contributions administered by the Federal Revenue Service of Brazil; It is

II – will be disciplined by the Executive Power in regulation.

§ 9 The machines and equipment benefited by the suspension of the contribution requirement, in the form of this article, will be listed in regulation

Art. 56. The Contribution to PIS/Pasep and Cofins due by the producer or importer of petrochemical naphtha, levied on the gross revenue arising from the sale of this product to petrochemical plants, will be calculated, respectively, based on the rates of 1% (one percent) and 4.6% (four and six tenths of a percent).
Single paragraph. The provisions of the caput of this article apply to the contribution to PIS/Pasep and Cofins due by the producer or importer of ethane, propane, butane, as well as refinery gaseous streams - HLR - light refining hydrocarbons on the gross revenue from the sale of these products to industries that employ them in the production of ethylene and propylene for industrial and commercial purposes. (Included by Law No. 11,488 of 2007)

Art. 57. When calculating the Contribution to PIS/Pasep and Cofins under the non-cumulative regime, the petrochemical plant may deduct credits calculated at the rates of 1.65% (one whole sixty-five hundredths percent) and 7.6% (seven whole six tenths of a percent), respectively, resulting from the acquisition or importation of petrochemical naphtha.

§ 1 In the event that the petrochemical plant resells the petrochemical naphtha acquired pursuant to art. 56 of this Law or imported in the form of § 15 of art. 8 of Law 10,865, of April 30, 2004, the credit referred to in the caput of this article will be calculated by applying the rates of 1.0% (one percent) for the Contribution to PIS/Pasep and 4. 6% (four and six tenths percent) to Cofins. (Renumbered from the sole paragraph by Law No. 11,488 of 2007)

§ 2 The provisions of the caput of this article apply to the industries referred to in the sole paragraph of art. 56 of this Law, regarding credits arising from the acquisition of ethane, propane, butane, as well as refinery gaseous streams - HLR - light refinery hydrocarbons used by them in the industrialization or commercialization of ethylene, propylene and products manufactured with them. (Included by Law No. 11,488 of 2007)

Art. 58. Article 8 of Law No. 10,865, of April 30, 2004, becomes effective with the following wording

“Art. 8th …………………………………………………………………………….
…………………………………………………………………………….

§ 15. On imports of petrochemical naphtha, when carried out by petrochemical plants, the rates are:

I – 1.0% (one percent), for the Contribution to PIS/Pasep-Import; It is

II – 4.6% (four and six tenths of a percent), for Cofins-Importation.” (NR)

Art. 59. Article 14 of Law No. 10,336, of December 19, 2001, becomes effective with the following wording:

“Art. 14. The provisions of art. 4 of Law no. 9,718, of November 27, 1998, and articles 22 and 23 of Law No. 10,865, of April 30, 2004, applying the specific rates:

I – fixed for diesel oil, when the petrochemical naphtha is intended for the production or formulation exclusively of diesel oil; or

II – fixed for gasoline, when the petrochemical naphtha is intended for the production or formulation of diesel oil or gasoline.

§ 1 (Revoked).

§ 2 (Revoked).

§ 3 (Revoked).” (NR)

Art. 60. The industrial legal entity or importer of products subject to the control seal referred to in art. 46 of Law No. 4,502, of November 30, 1964, may deduct from the Contribution to PIS/Pasep or Cofins, due in each calculation period, a presumed credit corresponding to the reimbursement of costs referred to in art. 3 of Decree-Law No. 1,437, of December 17, 1975, effectively paid in the same period.

Art. 61. The provisions of art. 33, § 2, item I, of Decree-Law no. 1,593, of December 21, 1977, also applies to other products subject to the control seal referred to in art. 46 of Law No. 4,502, of November 30, 1964.

Art. 62. The percentage and multiplier coefficient referred to in art. 3 of Complementary Law No. 70, of December 30, 1991, and art. 5 of Law No. 9,715, of November 25, 1998, are now 291.69% (two hundred and ninety-one integers and sixty-nine hundredths percent) and 3.42 (three integers and forty-two hundredths), respectively . (Wording provided by Law No. 12,024 of 2009) (Production of effect)

Art. 63. Article 8 of Law No. 10,925, of July 23, 2004, becomes effective with the following wording:

“Art. 8th …………………………………………………………………………….

§ 1 …………………………………………………………………………….

I – cereal holder who cumulatively carries out the activities of cleaning, standardizing, storing and selling in natura products of plant origin, classified under codes 09.01, 10.01 to 10.08, except for codes 1006.20 and 1006.30, 12.01 and 18.01, all of the NCM;
………………………………………………………………………………….” (NR)
Art. 64. In the sale of alcohol, including for fuel purposes, intended for consumption or industrialization in the Manaus Free Zone - ZFM, carried out by a producer, importer or distributor established outside the ZFM, the provisions of art. 2 of Law No. 10,996, of December 15, 2004.. (Wording provided by Law No. 11,727, of 2008). (Effects production)

§ 1 The Contribution to PIS/Pasep and Cofins will be levied on sales made by the acquiring legal entity pursuant to the caput of this article, at the rates referred to in § 4 of art. 5 of Law No. 9,718, of November 27, 1998, subject to the provisions of §§ 8 and 9 of the same article. (Wording provided by Law No. 11,727 of 2008).

§ 2 The producer, importer or distributor is obliged to charge and collect, as a substitute taxpayer, the Contribution to PIS/Pasep and Cofins due by the legal entity referred to in § 1 of this article. (Wording provided by Law No. 11,727 of 2008).

§ 3 For the purposes of § 2 of this article, the Contribution to PIS/Pasep and Cofins will be calculated by applying the rates referred to in § 1 of this article on the volume sold by the producer, importer or distributor. (Wording provided by Law No. 11,727 of 2008).

§ 4 The legal entity domiciled in the ZFM that uses alcohol purchased with tax substitution as an input, pursuant to §§ 2 and 3 of this article, may deduct from the Contribution to PIS/Pasep and Cofins levied on its billing the value of these contributions collected by the substitute tax. (Wording provided by Law No. 11,727 of 2008).

§ 5 For the purposes of this article, the provisions of paragraph b of item VII of the caption of art. 8 of Law no. 10,637, of December 30, 2002, and in line b of item VII of the caption of art. 10 of Law No. 10,833, of December 29, 2003. (Included by Law No. 11,727, of 2008).

§ 6 The provisions of this article also apply to sales intended for consumption or industrialization in the Free Trade Areas dealt with in Laws 7965, of December 22, 1989, 8210, of July 19, 1991, and 8256, of January 25 November 1991, art. 11 of Law No. 8,387, of December 30, 1991, and Law No. 8,857, of March 8, 1994, by a legal entity established outside these areas. (Included by Law No. 11,945 of 2009).(Production of effects).
Art. 65. In sales made by a producer, manufacturer or importer established outside the ZFM of the products listed in items I to VIII of § 1 of art. 2 of Law No. 10,833, of December 29, 2003, intended for consumption or industrialization in the ZFM, the provisions of art. 2 of Law No. 10,996, of December 15, 2004. (See Law No. 11,727, of 2008)

§ 1 In the case of this article, in the resales carried out by the acquiring legal entity in the form of the caput of this article, the Contribution to PIS/Pasep and Cofins will be levied at the rates provided for:
I - in art. 23 of Law No. 10,865, of April 30, 2004;

II – in line b of item I of art. 1 and of art. 2 of Law No. 10,147, of December 21, 2000, as amended by Law No. 10,865, of April 30, 2004;

III – in art. 1 of Law No. 10,485, of July 3, 2002, as amended by Law No. 10,865, of April 30, 2004;

IV – in the caput of art. 5 of Law No. 10,485, of July 3, 2002, as amended by Law No. 10,865, of April 30, 2004;

V – in items I and II of the heading of art. 3 of Law No. 10,485, of July 3, 2002, as amended by Law No. 10,865, of April 30, 2004;

VI – in item II of art. 58-M of Law No. 10,833, of December 29, 2003; (Wording provided by Law No. 11,727 of 2008) (Production of effects)

VII – in art. 51 of Law No. 10,833, of December 29, 2003, and subsequent amendments.

VIII – in art. 58-I of Law No. 10,833, of December 29, 2003. (Included by Law No. 11,727, of 2008) (Production of effects)

§ 2 The producer, manufacturer or importer, in the case of this article, is obliged to charge and collect, as a substitute taxpayer, the Contribution to PIS/Pasep and Cofins due by the legal entity referred to in § 1 of this article.

§ 3 The provisions of § 2 of this article do not apply to pharmaceutical products classified in headings 30.01, 30.03, 30.04, items 3002.10.1, 3002.10.2, 3002.10.3, 3002.20.1, 3002.20.2, 3006.30.1 and 3006.30. 2 and codes 3002.90.20, 3002.90.92, 3002.90.99, 3005.10.10, 3006.60.00, all from Tipi.

§ 4 For the purposes of § 2 of this article, the Contribution to PIS/Pasep and Cofins will be calculated by applying the rates referred to in § 1 of this article on: (Wording provided by Law No. effects)

I – the base value referred to in art. 58-L of Law No. 10,833, of December 29, 2003, in the case of item VI of § 1 of this article; (Included by Law No. 11,727 of 2008) (Production of effects)

II – the number of product units sold by the producer, manufacturer or importer, in the case of items I and VII of § 1 of this article; (Included by Law No. 11,727 of 2008) (Production of effects)

III – the selling price of the producer, manufacturer or importer, in the case of the other items of § 1 of this article. (Included by Law No. 11,727 of 2008) (Production of effects)

§ 5 The legal entity domiciled in the ZFM that uses as input or incorporates to its permanent assets products acquired with tax substitution, in the form of §§ 2 and 4 of this article, may deduct from the Contribution for PIS/Pasep and Cofins levied on its billing the value of these contributions collected by the tax substitute.

§ 6 The provisions of §§ 2, 4 and 5 of this article do not apply in the case of sale of the products referred to in items IV and V of § 1 of art. 2 of Law No. 10,833, of December 29, 2003, for vehicle assemblers.

§ 7 For the purposes of this article, the provisions of paragraph b of item VII of art. 8 of Law no. 10,637, of December 30, 2002, and in line b of item VII of art. 10 of Law No. 10,833, of December 29, 2003. (Included by Law No. 11,945, of 2009).(Production of effects).

§ 8 The provisions of this article also apply to sales intended for consumption or industrialization in the Free Trade Areas dealt with in Laws 7965, of December 22, 1989, 8210, of July 19, 1991, and 8256, of January 25 November 1991, art. 11 of Law No. 8,387, of December 30, 1991, and Law No. 8,857, of March 8, 1994, by a legal entity established outside these areas. (Included by Law No. 11,945 of 2009).(Production of effects).

Art. 66. (VETOED) 

CHAPTER X 

TAX ON INDUSTRIALIZED PRODUCTS - IPI

Art. 67. The Executive Branch is authorized to set, for the IPI on products classified under NCM codes 71.13, 71.14, 71.16 and 71.17, rates corresponding to the minimum established for the Tax on Circulation of Goods and Services – ICMS, under the terms of item VI of § 2 of art. 155 of the Federal Constitution.

Single paragraph. The IPI rates established in the caption of this article will be uniform throughout the national territory.

Art. 68. Paragraph 2 of art. 43 of Law No. 4,502, of November 30, 1964, becomes effective with the following wording:

“Art. 43. …………………………………………………………………………….
…………………………………………………………………………….

§ 2 The indications in the caput of this article and in its § 1 will be made in the form of the regulation, and may be replaced by other elements that allow the classification and fiscal control of the products.
………………………………………………………………………………….” (NR)

Art. 69. The effectiveness of Law No. 8989, of February 24, 1995, is extended until December 31, 2009.

Single paragraph. Article 2 and the caput of art. 6 of Law No. 8989, of February 24, 1995, shall come into effect with the following wording:

“Article 2 The exemption from the Tax on Industrialized Products – IPI referred to in art. 1 of this Law can only be used once, unless the vehicle was purchased more than 2 (two) years ago.” (NR)

“Art. 6th The disposal of the vehicle acquired pursuant to this Law and Law No. 8,199, of June 28, 1991, and Law No. 8,843, of January 10, 1994, before 2 (two) years from the date of acquisition, persons who do not meet the conditions and requirements established in said legal diplomas will result in the payment by the transferor of the waived tax, updated in the form of the tax legislation.

………………………………………………………………………………….” (NR)

CHAPTER XI 

DEADLINES FOR COLLECTION OF TAXES AND CONTRIBUTIONS

Art. 70. In relation to triggering events that occurred as of January 1, 2006, payments of Withholding Income Tax – IRRF and Tax on Credit, Exchange and Insurance Operations, or Relating to Bonds or Securities – IOF will be made in the following deadlines:

I - IRRF:

a) on the date of occurrence of the taxable event, in the case of:

1. income attributed to residents or domiciled abroad;

2. payments to unidentified beneficiaries;

b) up to the 3rd (third) business day subsequent to the ten-day period of occurrence of the triggering events, in the case of:

1. interest on own capital and financial investments, including those attributed to residents or domiciled abroad, and capitalization bonds;

2. prizes, including those distributed in the form of goods and services, obtained in contests and sweepstakes of any kind and profits resulting from these prizes; It is

3. fine or any advantage, referred to in art. 70 of Law No. 9,430, of December 27, 1996;

c) until the last business day of the month following the end of the calculation period, in the case of income and capital gains distributed by real estate investment funds; It is

d) until the last business day of the 2nd (second) ten-day period of the month following the month in which the triggering events occurred, in other cases; (Wording provided by Law No. 11,933, of 2009).(Production of effects).
II - IOF:

a) up to the third business day following the ten-day period in which the taxable events occur, in the case of acquisition of gold and financial assets; (Wording provided by Law No. 12,599, of 2012)

b) until the last business day of the month subsequent to the triggering event, in the case of operations related to financial derivative contracts; and (Wording provided by Law No. 12,599, of 2012)

c) until the third business day following the ten-day period for collection or accounting registration of the tax, in other cases. (Wording provided by Law No. 12,599, of 2012)

Single paragraph. Exceptionally, in the event referred to in paragraph d of item I of the caput of this article, in relation to the triggering events that occurred:

I – in the month of December 2006, payments will be made:

a) by the 3rd (third) business day of the subsequent ten-day period, for triggering events that occurred in the 1st (first) and 2nd (second) ten-day days; It is

b) until the last working day of the 1st (first) ten-day period of January 2007, for triggering events that occurred in the 3rd (third) ten-day period;

II – in the month of December 2007, payments will be made:

a) by the 3rd (third) business day of the 2nd (second) ten-day period, for triggering events that occurred in the 1st (first) ten-day period; It is

b) until the last working day of the 1st (first) ten-day period of January 2008, for triggering events that occurred in the 2nd (second) and 3rd (third) ten-day period.

Art. 71. Paragraph 1 of art. 63 of Law No. 8981, of January 20, 1995, becomes effective with the following wording:

“Art. 63. …………………………………………………………………………….

§ 1 The tax dealt with in this article will be levied on the market value of the prize, on the date of distribution.

………………………………………………………………………………….” (NR)

Art. 72. The sole paragraph of art. 10 of Law No. 9,311, of October 24, 1996, becomes effective with the following wording:

“Art. 10. …………………………………………………………………………….

Single paragraph. The payment or withholding and collection of the Contribution will be made at least 1 (one) time per ten-day period.” (NR)

Art. 73. Paragraph 2 of art. 70 of Law No. 9,430, of December 27, 1996, becomes effective with the following wording:

“Art. 70. …………………………………………………………………………….
…………………………………………………………………………….

§ 2 The tax will be withheld on the date of payment or credit of the fine or advantage.

………………………………………………………………………………….” (NR)

Art. 74. Article 35 of Law No. 10,833, of December 29, 2003, becomes effective with the following wording:

“Art. 35. The amounts withheld in the fortnight, pursuant to arts. 30, 33 and 34 of this Law, must be paid to the National Treasury by the public body that carried out the withholding or, centrally, by the parent company of the legal entity, until the last working day of the fortnight following that fortnight in which the payment took place. to the legal entity supplying the goods or providing the service.” (NR)

Art. 75. The caput of art. 6 of Law No. 9,317, of December 5, 1996, becomes effective with the following wording:

“Art. 6th The unified payment of taxes and contributions due by micro and small companies registered in Simples will be made centrally until the 20th (twentieth) day of the month following the month in which the gross revenue was earned.

………………………………………………………………………………….” (NR)

CHAPTER XII 

INVESTMENT FUNDS CONSTITUTED BY OPEN SUPPLEMENTARY PENSION ENTITIES AND INSURANCE COMPANIES AND INVESTMENT FUNDS TO GUARANTEE REAL ESTATE LEASE

Art. 76. As of January 1, 2006, open supplementary pension entities and insurance companies may set up investment funds, with segregated equity, linked exclusively to supplementary pension plans or life insurance with a survivorship coverage clause, structured in the modality of variable contribution, marketed and managed by them.

§ 1 During the accumulation period, the remuneration of the mathematical provision of benefits to be granted, of the plans and insurance referred to in the caput of this article, will be based on the profitability of the investment portfolio of the respective funds.

§ 2 The investment funds referred to in the caput of this article may only be managed by institutions authorized by the Securities and Exchange Commission – CVM for the exercise of securities portfolio management.
Art. 77. The acquisition of a plan or insurance within the framework provided for in art. 76 of this Law will be done through subscription by the purchaser of quotas of linked investment funds.

§ 1 In the case of a group plan or insurance:

I – the acquiring legal entity will also be a shareholder of the fund; It is

II – the contract or policy will contain a clause with the periodicity in which the shares acquired by the legal entity will have their ownership transferred to the participants or insured persons.

§ 2 The transfer of ownership referred to in item II of § 1 of this article:

I – will grant participants or policyholders the right to redeem and carry out the portability of the accumulated resources corresponding to the quotas;

II – does not characterize redemption for purposes of levying Income Tax.

§ 3 Regardless of the provisions of item II of § 1 of this article, in the case of bankruptcy or extrajudicial liquidation of a legal entity that owns shares:

I – the ownership of quotas linked to individual participants or policyholders will be transferred to them;

II – the ownership of shares not linked to any individual participant or insured shall be transferred to all participants or insured persons in proportion to the number of shares owned by them, including those whose ownership has been transferred to them based on item I of this paragraph.
Art. 78. The assets of investment funds referred to in art. 76 of this Law does not communicate with that of open supplementary pension entities or the insurance companies that constitute them, not being liable, even subsidiary, for their debts.

§ 1 In the event of bankruptcy or extrajudicial liquidation of the open supplementary pension entity or insurance company, the assets of the funds will not be part of the respective bankrupt or liquidated estate.

§ 2 The assets and rights forming part of the assets of the funds cannot be pledged, seized, seized or object of any other form of judicial constriction as a result of debts of the open supplementary pension entity or of the insurance company.
Art. 79. In the event of death of the participant or insured of the plans and insurance dealt with in art. 76 of this Law, its beneficiaries may choose to redeem the shares or to receive a benefit of a continuous nature provided for in the contract, regardless of the opening of an inventory or similar procedure.

Art. 80. Supplementary pension plans and life insurance with a survivorship coverage clause marketed up to December 31, 2005 may be adapted by open supplementary pension entities and insurance companies to the structure provided for in art. 76 of this Law.
Art. 81. The provisions of art. 80 of this Law does not affect the right of participants and policyholders to the portability of accumulated resources to other plans and insurance, structured or not under the terms of art. 76 of this Law.

Art. 82. The concession of benefit of a continued nature by plan or insurance structured in the form of art. 76 of this Law will result in the transfer of ownership of the quotas of the funds to which the respective plan or insurance is linked to the open supplementary pension entity or the insurance company responsible for the concession.

Single paragraph. The transfer of ownership of shares referred to in the caput of this article does not characterize redemption for purposes of levying Income Tax.

Art. 83. Applies to the plans and insurance dealt with in art. 76 of this Law the provisions of art. 11 of Law no. 9,532, of December 10, 1997, and in arts. 1 to 5 and 7 of Law No. 11,053, of December 29, 2004.

Single paragraph. It is responsible for withholding and collecting taxes and contributions levied on investments made in investment funds referred to in art. 76 of this Law the open supplementary pension entity or the insurance company that sells or manages the plan or insurance within the structure provided for in the aforementioned article, as well as for the fulfillment of the ancillary obligations arising from this responsibility.

Art. 84. The participant of a supplementary pension plan framed in the structure provided for in art. 76 of this Law the offer, as a guarantee of real estate financing, of quotas of its ownership of the funds referred to in the aforementioned article.

§ 1 The provisions of this article also apply:

I – to members of the Individual Programmed Retirement Fund – FAPI;

II – to policyholders holding life insurance with a survivorship coverage clause within the structure provided for in art. 76 of this Law.

§ 2 The option mentioned in the caput of this article applies only to real estate financing taken out at a financial institution, which may or may not be linked to the operator of the plan or insurance.

Art. 85. Open supplementary pension entities and insurance companies are prohibited from imposing restrictions on the exercise of the option mentioned in art. 84 of this Law, even if the real estate financing is taken from a non-linked financial institution.

Art. 86. The guarantee referred to in art. 84 of this Law will be the subject of a specific contractual instrument, signed by the participant or insured, by the open supplementary pension entity or insurance company and by the financial institution.

Single paragraph. The specific contractual instrument referred to in the caput of this article will be considered, for all legal purposes, as an integral part of the benefit plan or policy, as the case may be.

Art. 87. Real estate financing operations that rely on the guarantee mentioned in art. 84 of this Law will be contracted with life insurance with death and permanent disability coverage.

Art. 88. Institutions authorized by the Securities and Exchange Commission – CVM to manage securities portfolios are authorized to set up investment funds that allow the assignment of their quotas in guarantee of real estate leasing.

§ 1 The assignment referred to in the caput of this article will be formalized, upon registration with the fund administrator, by the holder of the shares, by means of a fiduciary assignment term accompanied by 1 (one) copy of the lease agreement, constituting, in favor of the creditor fiduciary, resolvable property of shares.

§ 2 In the event that the assignor is not the lessee of the leased property, he must also sign the lease contract or addendum, as guarantor.

§ 3 The assignment in guarantee referred to in the caput of this article constitutes a fiduciary regime on the assigned quotas, which are unavailable, inalienable and non-seizable, with the financial institution managing the fund becoming its fiduciary agent.

§ 4 The leasing contract will mention the existence and conditions of the assignment dealt with in the caption of this article, including its duration, which may be for a fixed or indefinite period.

§ 5 In the event of automatic extension of the lease agreement, the assignor will remain responsible for all its effects, even if he has not agreed to the contractual amendment, however, he may withdraw from the guarantee, at any time, by notifying the lessor, the lessee and the fund administrator, at least 30 (thirty) days in advance.

§ 6 In the event of default, the fiduciary creditor shall extrajudicially notify the lessee and the assignor, if a different person, communicating the period of 10 (ten) days for full payment of the debt, under penalty of extrajudicial foreclosure of the guarantee, pursuant to § 7 of this article .

§ 7 If the full payment of the debt does not occur within the period established in § 6 of this article, the creditor may request the fiduciary agent to transfer to him, in full, exclusive and irrevocable character, the ownership of sufficient shares for its discharge, without prejudice to the action of eviction and the demand, by own means, of the eventual existing difference, in the hypothesis of insufficiency of the guarantee.

§ 8 The undue foreclosure of the guarantee entails the responsibility of the fiduciary creditor for the damage caused, without prejudice to the return of the shares or the corresponding amount, duly updated.

§ 9 The fiduciary agent is not responsible for the effects of the provisions of §§ 6 and 7 of this article, except in the event of proven intent, bad faith, simulation, fraud or negligence, in the exercise of fund administration.

§ 10. The institution that administers the fund with the structure provided for in this article is responsible for withholding and collecting taxes and contributions levied on investments made in the investment funds referred to in the caput of this article, as well as for complying with the ancillary obligations arising from this responsibility.

Art. 89. Arts. 37 and 40 of Law No. 8,245, of October 18, 1991, are now in effect, with the addition of the following items:

“Art. 37. …………………………………………………………………………….
…………………………………………………………………………….

IV – fiduciary assignment of investment fund shares.
………………………………………………………………………………….” (NR)

“Art. 40. …………………………………………………………………………….
…………………………………………………………………………….

VIII – exemption from guarantee constituted by investment fund quotas;

IX – liquidation or closure of the investment fund referred to in item IV of art. 37 of this Law.” (NR)

Art. 90. It is incumbent upon the Central Bank of Brazil, the Securities and Exchange Commission and the Superintendence of Private Insurance, within the scope of their respective attributions, to provide for the complementary criteria for the regulation of this Chapter.

CHAPTER XIII 

TAXATION OF BENEFIT PLANS, INSURANCE AND SOCIAL SECURITY INVESTMENT FUNDS

Art. 91. Law No. 11,053, of December 29, 2004, becomes effective with the following changes:

“Article 1 …………………………………………………………………………….
…………………………………………………………………………….

§ 6 The options mentioned in paragraph 5 of this article must be exercised by the last business day of the month following entry into the benefit plans operated by a supplementary pension entity, by an insurance company or by FAPI and will be irreversible, even in the event of portability of funds and transfer of participants and respective reservations.

§ 7 For the participant, insured person or shareholder who joined the benefit plan by November 30, 2005, the option referred to in paragraph 6 of this article must be exercised by the last business day of December 2005, permitted in this deadline, exceptionally, the withdrawal of the option for those who joined the referred plan between January 1st and July 4th, 2005.” (NR)

“Art. 2nd …………………………………………………………………………….
…………………………………………………………………………….

§ 2 The option referred to in this article must be formalized by the participant, insured person or shareholder, to the respective supplementary pension entity, insurance company or FAPI administrator, as the case may be, by the last working day of December 2005.

………………………………………………………………………………….” (NR)
“Art. 5th ……………………………………………………………………………….

Single paragraph. The provisions of the caput of this article apply to administrative funds constituted by closed supplementary pension entities and to the provisions, technical reserves and funds of assistance plans referred to in art. 76 of Complementary Law No. 109, of May 29, 2001.” (NR)

Art. 92. The caput of art. 8 of Law No. 9,311, of October 24, 1996, is now in effect, with the addition of the following item IX:

“Art. 8th …………………………………………………………………………….
…………………………………………………………………………….

IX – in entries related to the transfer of technical reserves, funds and provisions of a social security benefit plan between supplementary pension entities or insurance companies, including as a result of corporate reorganization, provided that:

a) there is no availability of funds for the participant, nor change in ownership of the plan; It is

b) the transfer is carried out directly between plans or between plan managers.

………………………………………………………………………………….” (NR)

Art. 93. The taxpayer who paid taxes and contributions based on art. 5 of Provisional Measure No. 2,222, of September 4, 2001, in an amount lower than the amount due, may settle the remaining debt until the last working day of December 2005, with the incidence of a fine, delay or ex officio, as as the case may be, as well as the incidence of interest equivalent to the reference rate of the Special System of Settlement and Custody - Selic, for federal bonds, accumulated monthly, calculated from the month following the due date of the tax and 1% (one percent) in the month of payment.

§ 1 The payment made pursuant to the caput of this article will imply the extinction of tax credits related to the triggering events related to it, even if already constituted, registered or not in overdue debt.

§ 2 The Executive Power shall regulate, in regulation, the provisions of this article.

Art. 94. Supplementary pension entities, insurance companies and Individual Programmed Retirement Funds - FAPI that, for the enjoyment of the benefit provided for in art. 5 of Provisional Measure No. 2,222, of September 4, 2001, made the payment of taxes and contributions in the manner established therein and withdrew from individual lawsuits must prove, before the Federal Revenue Office of Brazil of their jurisdiction, the withdrawal of actions collective lawsuits, as well as the irreversible and irrevocable waiver of any claim of right thereto, up to the last business day of December 2005.

Single paragraph. The benefit mentioned in the caput of this article is effective as long as there is no judicial approval of the application, becoming definitive with said approval.

Art. 95. In the event of payment of unscheduled benefit offered in benefit plans of a social security nature, structured in the modalities of defined contribution or variable contribution, after the participant's option for the taxation regime referred to in art. 1 of Law No. 11,053, of December 29, 2004, will levy income tax at the rate:

I – 25% (twenty-five percent), when the accumulation period is less than or equal to 6 (six) years; It is

II – provided for in item IV, V or VI of art. 1 of Law 11,053, of December 29, 2004, when the accumulation period exceeds 6 (six) years.

§ 1 The provisions of the caput of this article also apply to the unscheduled benefit granted by benefit plans whose participants have opted for the taxation regime referred to in the caput of this article, under the terms of art. 2 of Law No. 11,053, of December 29, 2004.

§ 2 For the purposes of this article and the definition of the income tax rate on the following installments, the accumulation period continues to be counted after the payment of the 1st (first) installment of the benefit, resulting in the progressive reduction of the rate applicable due to the lapse the deadline for payment of benefits, as defined in an act by the Federal Revenue of Brazil, the Secretariat for Complementary Pensions and the Superintendence of Private Insurance. 

THE INSTALLMENT OF SOCIAL SECURITY DEBT OF THE MUNICIPALITIES

Art. 96. Municipalities will be able to pay in installments their debts and those of responsibility of municipal authorities and foundations related to the social contributions dealt with in items a and c of the sole paragraph of art. 11 of Law No. 8212, of July 24, 1991, expiring on January 31, 2009, after the application of art. 103-A, in: (Wording given by Law No. 11.960, of 2009)

I – 120 (one hundred and twenty) to 240 (two hundred and forty) monthly and consecutive installments, if related to the social contributions referred to in line a of the sole paragraph of art. 11 of Law No. 8,212, of July 24, 1991, with a reduction of 100% (one hundred percent) of default and ex-officio fines, and also with a reduction of 50% (fifty percent) of default interest; and/or (Included by Law No. 11,960, of 2009)

II – 60 (sixty) monthly and consecutive installments, if related to the social contributions referred to in line c of the sole paragraph of art. 11 of Law No. 8,212, of July 24, 1991, and those subject to withholding tax, third-party discount or subrogation, with a reduction of 100% (one hundred percent) of default and ex-officio fines, and, also, with a reduction of 50% (fifty percent) of default interest. (Included by Law No. 11,960 of 2009)

§ 1 The debts referred to in the caput are those originating from social contributions and corresponding ancillary obligations, constituted or not, registered or not in active debt of the Union, even if in the process of tax execution already filed, or that have been subject to previous installments, not fully paid, even if canceled due to non-payment, including those paid in installments pursuant to Law No. 9639, of May 25, 1998. (Wording provided by Law No. 11960, of 2009)

§ 2 Debts not yet constituted must be irreversibly and irrevocably confessed.

§ 3 (Revoked by Law No. 11,960, of 2009)

§ 4 If the installment is not paid on the due date, sufficient funds from the Municipalities Participation Fund will be retained and transferred to the Federal Revenue of Brazil for its discharge. (Wording provided by Law No. 11,960, of 2009)

§ 5 The amounts paid by the Municipalities related to the installments object of this Law will not be included in the limit referred to in § 4 of art. 5 of Law No. 9639, of May 25, 1998, as amended by Provisional Measure No. 2.187-13, of August 24, 2001.

§ 6 The option for payment in installments must be formalized by the last working day of the second month following the publication of this Law, at the unit of the Secretariat of the Federal Revenue of Brazil in the district of the requesting Municipality, being forbidden, from the moment of adhesion, any withholding related to debts of previous installments included in the installment referred to in this Law. (Wording provided by Law No. 11,960, of 2009)

§ 7 The provisions of item IX of art. 14 and in § 2 of art. 14-A of Law No. 10,522, of July 19, 2002. (Included by Law No. 11,960, of 2009)

§ 8 Debts of the Municipalities are not those considered expired or decadent under Law No. 5172, of October 25, 1966, even if eventually confessed in previous installments. (Included by Law No. 11,960 of 2009)

§ 9 The issuance of a negative certificate conditioned to the settlement of the debts referred to in this article will occur within 2 (two) business days after the formalization of the option for the installment plan and will be valid for 180 (one hundred and eighty) days or until the conclusion of the balance of accounts provided for in art. 103-A of this Law, whichever occurs first. (Included by Law No. 11,960 of 2009)

§ 10. To start paying the debts referred to in the caput of this article, the Municipalities will have a grace period of: (Included by Law No. 11,960, of 2009)

I – 6 (six) months for those with up to 50,000 (fifty thousand) inhabitants, counted from the date referred to in paragraph 6; (Included by Law No. 11,960 of 2009)

II – 3 (three) months for those with more than 50,000 (fifty thousand) inhabitants, counted from the date referred to in paragraph 6. (Included by Law No. 11,960 of 2009)

§ 11. Municipalities that are unable to opt for the installment plan within the period stipulated in § 6 will have a new deadline for joining, which will end on November 30, 2009. (Included by Law No. 12,058 of 2009)

Art. 97. The debts will be consolidated by Municipality on the date of the installment request, reducing the amounts related to interest on arrears by 50% (fifty percent). (Regulation)

Art. 98. The debts referred to in art. 96 will be paid in monthly installments equivalent to: (Regulation)

I – 1.5% (one and five tenths of a percent), at least, of the monthly average of current municipal net revenue, respecting the deadlines established in items I and II of art. 96 of this Law; (Wording provided by Law No. 11,960, of 2009)

II - (VETOED)

Art. 99. The value of each monthly installment, at the time of payment, will be increased by interest equivalent to the reference rate of the Special System of Liquidation and Custody - Selic for federal securities, accumulated monthly from the 1st (first) day of the month following the consolidation of the debit until the last business day of the month prior to the payment, and of 1% (one percent) in the month of payment of the respective installment. (Regulation)

Art. 100. For the installment plan object of this Law, the following conditions will be observed: (Regulation)

I – the percentage of 1.5% (one and five tenths of a percent) will be applied to the monthly average of Net Current Revenue referring to the year prior to the due date of the installment, published in accordance with the provisions of arts. 52, 53 and 63 of Complementary Law no. 101, of May 4, 2000;

II – for the purposes of calculating the monthly installments, the Municipalities are obliged to forward to the Federal Revenue of Brazil the statement of calculation of the net current revenue referred to in item I of the caput of art. 53 of Complementary Law No. 101, of May 4, 2000, until the last working day of February of each year;

III – failure to present the information referred to in item II of the caput of this article will imply, for the purpose of calculating and collecting the monthly installment, the application of the variation of the General Price Index, Internal Availability – IGP-DI, plus interest of 0.5% (five tenths of a percent) per month, on the last net current revenue published under the terms of the legislation.

§ 1 For the purpose of the provisions of this article, the limits used in the previous year will apply to installments falling due in January, February and March of each year, under the terms of item I of the caput of this article.

§ 2 For the purposes set forth in this Law, net current revenue is understood to be that defined under the terms of art. 2 of Complementary Law no. 101, of May 4, 2000.

Art. 101. The installments will be payable on the last business day of each month, starting from the month following the month in which the installment request was formalized. (Regulation)

§ 1 In the period between the formalization of the installment request and the month of consolidation, the Municipality must collect monthly the minimum installments corresponding to the amounts provided for in item I of art. 98 of this Law, under penalty of rejection of the request.

§ 2 The order is confirmed with the payment of the 1st (first) installment in the form of § 1 of this article.

§ 3 As of the month following the consolidation, the value of the installment will be obtained by dividing the amount of the debt in installments, deducting the values of the minimum installments collected under the terms of § 1 of this article, by the number of remaining installments, observing the minimum and maximum amounts contained in art. 98 of this Law.

Art. 102. The granting of installment payments under this Law is subject to: (Regulation)

I – the presentation by the Municipality, on the date of formalization of the request, of the statement referring to the calculation of the Municipal Net Current Revenue, in the form of the provisions of Complementary Law No. 101, of May 4, 2000, referring to the calendar year of 2008; (Wording provided by Law No. 11,960, of 2009)

II – the fulfillment of obligations due after the date referred to in the caption of art. 96 of this Law.

Art. 103. The installment payment referred to in this Law will be terminated in the following cases: (Regulation)

I – default for 3 (three) consecutive months or 6 (six) alternate months, whichever occurs first;

II – non-compliance with current obligations related to the contributions referred to in art. 96 of this Law;

III – non-completion of the value of the provision pursuant to § 4 of art. 96 of this Law.

Art. 103-A. (VETOED) (Included by Law No. 11,960, of 2009)

Art. 104. The Executive Branch shall regulate, in regulation, the acts necessary for the execution of the provisions of arts. 96 to 103 of this Law. (Regulation)

Single paragraph. The debts referred to in the caput of this article will be consolidated within the scope of the Federal Revenue Service of Brazil.

Art. 105???????? (VETOED)

CHAPTER XV 

TAX EXEMPTION FOR BEEF FARMING

Art. 106. (VETOED)

Art. 107???????? (VETOED)

Art. 108???????? (VETOED)

CHAPTER XVI 

GENERAL PROVISIONS

Art. 109. For the purposes of subparagraphs b and c of item XI of the head provision of art. 10 of Law No. 10,833, of December 29, 2003, the price adjustment based on the production cost or the index variation that reflects the weighted variation of the costs of the inputs used, pursuant to item II of § 1 of art. 27 of Law No. 9069, of June 29, 1995, will not be considered for the purpose of mischaracterizing the predetermined price.

Single paragraph. The provisions of this article apply from November 1, 2003.

Art. 110. For the purposes of determining the basis for calculating the Contribution to PIS/Pasep, Cofins, IRPJ and CSLL, financial institutions and other institutions authorized to operate by the Central Bank of Brazil must compute as revenues or expenses incurred in operations carried out in futures settlement markets: (Regulation)

I – the difference, calculated on the last business day of the month, between variations in rates, prices or contracted indices (difference of curves), with the balance calculated upon settlement of the contract, assignment or closing of the position, in cases of:

a) swap and term;

b) futures and other derivatives with daily or periodic financial adjustments of positions whose assets underlying the contracts are spot interest rates or fixed income instruments for which it is possible to determine the criteria provided for in this item;

II – the result of the algebraic sum of the monthly adjustments, in the case of the markets referred to in item b of item I of the caput of this article whose underlying assets to the contracts are commodities, currencies, variable income assets, forward interest rates or any other asset or economic variable for which it is not possible to adopt the criterion provided for in the aforementioned item;

III – the result determined upon settlement of the contract, assignment or closing of the position, in the case of options and other derivatives.

§ 1 The Executive Branch shall regulate, in a regulation, the provisions of this article, and may even determine that the amount to be recognized monthly, in the event referred to in line b of item I of the caput of this article, be calculated:

I – by the exchange on which the contracts were traded or registered;

II – while the information referred to in item I of the caput of this article is not available, in accordance with the criteria established by the Central Bank of Brazil.

§ 2 When the operation is carried out on the over-the-counter market, the recognition of expenses or losses will only be admitted if the operation has been registered in a system that has criteria to assess whether the prices, when opening or closing the position, are consistent with the market prices.

§ 3 In the case of hedge operations carried out in markets for future settlement on exchanges abroad, the revenues or expenses referred to in the caput of this article will be appropriated by the result:

I – the algebraic sum of the monthly adjustments, in the case of contracts subject to position adjustments;

II – earned upon settlement of the contract, in the case of other derivatives.

§ 4 For the purposes of determining the basis for calculating the Contribution to PIS/Pasep and Cofins, it is forbidden to recognize expenses or losses incurred in operations carried out in off-exchange markets abroad.

§ 5 The adjustments will be made in the tax book for calculating the actual profit.

Art. 111. Article 4 of Law No. 10,931, of August 2, 2004, becomes effective with the following wording:

“Art. 4th …………………………………………………………………………….
…………………………………………………………………………….

§ 2 The payment of taxes and contributions pursuant to the provisions of the caput of this article will be considered definitive, not generating, under any circumstances, the right to refund or compensation with whatever is calculated by the developer.

§ 3 The revenues, costs and expenses of the incorporation subject to taxation in the form of this article shall not be computed in the calculation of the bases for calculating the taxes and contributions referred to in the caput of this article due by the incorporating company due to its other business activities, including incorporations unaffected.

§ 4 For the purposes of paragraph 3 of this article, the indirect costs and expenses paid by the developer in the month will be allocated to each development in the same proportion represented by the direct costs of the development, in relation to the total direct cost of the developer, thus understood as the sum of all direct costs of all mergers and other activities carried out by the developer.

§ 5 The option for the special taxation regime obliges the taxpayer to pay the taxes, in the form of the caput of this article, from the month of the option.” (NR)

Art. 112. The Minister of State for Finance may create, in the Taxpayers' Councils of the Ministry of Finance, Special Panels, on a temporary basis, with jurisdiction to judge cases involving small amounts or recurrent or low-complexity matters. (See Law No. 11,941 of 2009)

§ 1 The Classes referred to in the caput of this article will be equal, composed of 4 (four) members, 1 (one) councilor being the President of the Chamber, representative of the Treasury, and 3 (three) councilors with a pro tempore mandate, designated among the alternate councilors . (See Law No. 11,941 of 2009)

§ 2 The Special Groups referred to in this article may operate in the cities where the Superintendencies of the Federal Revenue of Brazil are located. (See Law No. 11,941 of 2009)

§ 3 The Minister of State for Finance will regulate the provisions of this article, including the definition of the matter and the value referred to in the caput of this article and the functioning of the Special Panels. (See Law No. 11,941 of 2009)

Art. 113. Decree No. 70,235, of March 6, 1972, comes into force with the addition of art. 26-A and with the following wording for arts. 2nd, 9th, 16th and 23rd:

“Article 2 …………………………………………………………………………….

Single paragraph. The acts and procedural terms referred to in the caput of this article may be forwarded electronically or presented in magnetic media or equivalent, as disciplined in an act of the tax administration.” (NR)

“Art. 9th …………………………………………………………………………….

§ 1 The infraction notices and assessment notices mentioned in the caput of this article, formalized in relation to the same taxable person, may be the object of a single process, when the proof of the offenses depends on the same evidence.

………………………………………………………………………………….” (NR)

“Art. 16. …………………………………………………………………………….
…………………………………………………………………………….

V – if the impugned matter was submitted to judicial appreciation, a copy of the petition must be attached.

………………………………………………………………………………….” (NR)

“Art. 23. …………………………………………………………………………….
…………………………………………………………………………….

III – by electronic means, with proof of receipt, through:

a) delivery to the taxpayer's tax domicile; or

b) recording on magnetic media or equivalent used by the taxable person.

§ 1 When one of the means provided for in the caput of this article is unprofitable, the subpoena may be made by published notice:

I – at the address of the tax administration on the internet;

II – in dependency, open to the public, of the body in charge of subpoenaing; or

III – only once, in an organ of the official local press.

§ 2 …………………………………………………………………………….
…………………………………………………………………………….

III – if by electronic means, 15 (fifteen) days from the registered date:

a) on proof of delivery at the taxpayer's tax domicile; or

b) in the magnetic medium or equivalent used by the taxable person;

IV – 15 (fifteen) days after publication of the notice, if this is the means used.

§ 3 The means of subpoena provided for in the items of the caput of this article are not subject to order of preference.

§ 4 For subpoena purposes, the taxpayer's tax domicile is considered to be:

I – the postal address provided by him, for registration purposes, to the tax administration; It is

II – the e-mail address assigned to him by the tax administration, as long as authorized by the taxable person.

§ 5 The electronic address referred to in this article will only be implemented with the express consent of the taxable person, and the tax administration will inform him of the rules and conditions for its use and maintenance.

§ 6 The changes made by this article will be disciplined in an act of the tax administration.” (NR)

“Art. 26-A. The Superior Chamber of Tax Appeals of the Ministry of Finance - CSRF may, at the initiative of its members, the Presidents of the Taxpayers' Councils, the Secretary of the Federal Revenue or the Attorney General of the National Treasury, approve a proposal for a summary of its reiterated decisions and uniforms.

§ 1 According to the matter that constitutes its object, the summary will be appreciated by one of the Panels or by the Plenary of the CSRF.

§ 2 The summary that obtains 2/3 (two thirds) of the votes of the Class or the Plenary will be submitted to the Minister of State for Finance, after a favorable opinion of the Attorney General of the National Treasury, after hearing the Federal Revenue Service of Brazil.

§ 3 After approval by the Minister of State for Finance and publication in the Federal Official Gazette, the summary will be binding in relation to the Federal Tax Administration and, within the scope of the administrative process, to taxpayers.

§ 4 The summary may be revised or canceled at the proposal of the Presidents and Vice-Presidents of the Taxpayers' Councils, the Attorney General of the National Treasury or the Secretary of the Federal Revenue, obeying the procedures foreseen for its edition.

§ 5 The procedures referred to in this article will be disciplined in the internal regulations of the Taxpayers Councils and the Superior Chamber of Tax Appeals of the Ministry of Finance.”

Art. 114. Article 7 of Decree-Law No. 2,287, of July 23, 1986, becomes effective with the following wording:

“Art. 7th The Federal Revenue of Brazil, before proceeding with the refund or reimbursement of taxes, must verify whether the taxpayer is a debtor to the National Treasury.

§ 1 If there is a debt on behalf of the taxpayer, the amount of the refund or compensation will be offset, in whole or in part, with the amount of the debt.

§ 2 Existing, under the terms of Law No. 5172, of October 25, 1966, a debt on behalf of the taxpayer, in relation to the social contributions provided for in items a, b and c of the sole paragraph of art. 11 of Law No. 8212, of July 24, 1991, or contributions instituted by way of replacement and in relation to the Active Debt of the National Institute of Social Security - INSS, the amount of the refund or reimbursement will be offset, in whole or in part, with the debt amount.

§ 3 A joint act by the Ministries of Finance and Social Security will establish the rules and procedures necessary for the application of the provisions of this article.” (NR)

Art. 115. Article 89 of Law No. 8.212, of July 24, 1991 - Organic Law of Social Security, shall come into effect, with the addition of the following paragraph 8:

“Art. 89. …………………………………………………………………………….
…………………………………………………………………………….

§ 8 Upon verification of the existence of a debt on behalf of the taxable person, the amount of the refund will be used to extinguish it, in whole or in part, through compensation.” (NR)

Art. 116. Article 8-A of Law No. 10.336, of December 19, 2001, becomes effective with the following wording:

“Art. 8th-A. The value of Cide-Combustíveis paid by the seller of liquid hydrocarbons not intended for the formulation of gasoline or diesel may be deducted from the amounts owed by the legal entity purchasing these products, in relation to taxes or contributions administered by the Federal Revenue Service of Brazil, under the terms, limits and conditions established by regulation.

§ 1 The legal entity importing the products referred to in the caput of this article not intended for the formulation of gasoline or diesel may deduct from the amounts of taxes or contributions administered by the Federal Revenue Service of Brazil, under the terms, limits and conditions established in regulation, the value of Cide -Fuel paid on import.

§ 2 The provisions of this article apply only to liquid hydrocarbons used as an input by the acquiring legal entity.” (NR)

Art. 117. Article 18 of Law No. 10,833, of December 29, 2003, becomes effective with the following wording:

“Art. 18. …………………………………………………………………………….
…………………………………………………………………………….

§ 4 An isolated fine will also be required on the total amount of the unduly compensated debt, when the compensation is considered not declared in the hypotheses of item II of § 12 of art. 74 of Law No. 9,430, of December 27, 1996, applying the expected percentages:

I - in item I of the caput of art. 44 of Law No. 9,430, of December 27, 1996;

II – in item II of the caput of art. 44 of Law No. 9,430, of December 27, 1996, in cases of clear intention of fraud, defined in arts. 71, 72 and 73 of Law No. 4,502, of November 30, 1964, regardless of other applicable administrative or criminal penalties.

§ 5 The provisions of § 2 of art. 44 of Law No. 9,430, of December 27, 1996, to the hypotheses provided for in § 4 of this article.” (NR)

Art. 118. Paragraph 2 of art. 3, art. 17 and art. 24 of Law No. 8666, of June 21, 1993, are now in force with the following wording:

“Art. 3rd …………………………………………………………………………….
…………………………………………………………………………….

§ 2 …………………………………………………………………………….
…………………………………………………………………………….

IV – produced or provided by companies that invest in research and technology development in the country.
………………………………………………………………………………….” (NR)

“Art. 17. …………………………………………………………………………….

I – ………………………………………………………………………………….
…………………………………………………………………………….

g) procedures for legitimizing possession referred to in art. 29 of Law No. 6,383, of December 7, 1976, upon initiative and deliberation by Public Administration bodies in whose legal competence such attribution is included;
…………………………………………………………………………….

§ 2 The Administration may also grant title of ownership or real right to use real estate, exempt from bidding, when the use is intended:

I – to another body or entity of the Public Administration, whatever the location of the property;

II – the natural person who, under the terms of the law, regulation or normative act of the competent body, has implemented the minimum requirements for culture and housing in a rural area located in the Legal Amazon region, defined in art. 2 of Law no. 5.173, of October 27, 1966, higher than that legally subject to legitimization of possession referred to in line g of item I of the caput of this article, in compliance with the area limits defined by normative act of the Executive Power.

§ 2-A. The hypotheses of item g of item I of the caput and item II of § 2 of this article are exempt from legislative authorization, but are subject to the following conditions:

I – application exclusively to areas in which the detention by a private person is demonstrably prior to December 1, 2004;

II – submission to the other requirements and impediments of the legal and administrative regime for the allocation and land regularization of public lands;

III – prohibition of concessions for exploitation hypotheses not contemplated in the agrarian law, in the laws for the allocation of public lands, or in the legal or administrative norms of ecological-economic zoning; It is

IV – provision for automatic termination of the concession, notification being waived, in case of declaration of utility, or public need or social interest.

§ 2-B. The hypothesis of item II of § 2 of this article:

I – only applies to property located in a rural area, not subject to prohibition, impediment or inconvenience to its exploitation through agricultural activities;

II – is limited to areas of up to 500 (five hundred) hectares, with the waiver of bidding for areas exceeding this limit prohibited; It is

III – may be combined with the amount of area resulting from the figure provided for in line g of item I of the caput of this article, up to the limit provided for in item II of this paragraph.
………………………………………………………………………………….” (NR)

“Art. 24. …………………………………………………………………………….
…………………………………………………………………………….

XXVII – for the supply of goods and services, produced or provided in the country, which involve, cumulatively, high technological complexity and national defense, upon the opinion of a commission specially appointed by the highest authority of the body.

………………………………………………………………………………….” (NR)

Art. 119. Article 27 of Law No. 8.987, of February 13, 1995, becomes effective with the following wording:

“Art. 27. …………………………………………………………………………….

§ 1 For the purposes of obtaining the consent referred to in the caput of this article, the applicant must:

I – meet the requirements of technical capacity, financial suitability and legal and tax regularity necessary to assume the service; It is

II – undertake to comply with all clauses of the contract in force.

§ 2 Under the conditions established in the concession contract, the granting power will authorize the assumption of control of the concessionaire by its financiers to promote its financial restructuring and ensure the continuity of the provision of services.

§ 3 In the event provided for in § 2 of this article, the granting authority will demand that financers meet the requirements of legal and fiscal regularity, and may change or waive the other requirements provided for in § 1, item I of this article.

§ 4 The assumption of control authorized pursuant to § 2 of this article will not change the obligations of the concessionaire and its controllers before the granting authority.” (NR)

Art. 120. Law No. 8,987, of February 13, 1995, comes into force with the addition of arts. 18-A, 23-A and 28-A:

“Art. 18-A. The public notice may provide for the inversion of the order of the qualification and judgment phases, in which case:

I – once the phase of classification of the proposals or the offering of bids is closed, the envelope with the qualification documents of the best ranked bidder will be opened, to verify compliance with the conditions set out in the public notice;

II – upon verification of compliance with the requirements of the public notice, the bidder will be declared the winner;

III – once the best ranked bidder is disqualified, the qualifying documents of the bidder with the proposal classified in second place will be analyzed, and so on, until a classified bidder meets the conditions established in the notice;

IV – once the final result of the contest has been proclaimed, the object will be awarded to the winner under the technical and economic conditions offered by him.”

“Art. 23-A. The concession contract may provide for the use of private mechanisms for the resolution of disputes arising out of or related to the contract, including arbitration, to be carried out in Brazil and in Portuguese, pursuant to Law No. 9,307, of September 23, 1996.”

“Art. 28-A. To guarantee long-term loan agreements, intended for investments related to concession agreements, in any of its modalities, the concessionaires may assign to the lender, on a fiduciary basis, a portion of their future operating credits, subject to the following conditions:

I – the credit assignment contract must be registered with the Registry of Deeds and Documents in order to be effective before third parties;

II – without prejudice to the provisions of item I of the caput of this article, the assignment of the credit will not be effective in relation to the granting Public Power unless it is formally notified;

III – future credits assigned under the terms of this article will be constituted under the ownership of the lender, regardless of any additional formality;

IV – the creditor may indicate a financial institution to collect and receive payments for the assigned credits or allow the concessionaire to do so, in the capacity of representative and depositary;

V – in the event that a financial institution has been indicated, as provided for in item IV of the caput of this article, the concessionaire is obliged to present the credits for collection to it;

VI – the payments of assigned credits must be deposited by the concessionaire or by the institution in charge of collection in a bank account linked to the loan agreement;

VII – the depositary financial institution must transfer the amounts received to the lender as the obligations of the loan agreement become enforceable; It is

VIII – the assignment contract will provide for the return to the concessionaire of surplus resources, with retention of the balance after full performance of the contract being prohibited.

Single paragraph. For the purposes of this article, long-term contracts will be considered those whose obligations have an average maturity of more than 5 (five) years.”

Art. 121. Article 25 of Law No. 10,438, of April 26, 2002, becomes effective with the following wording:

“Art. 25. Special discounts on electricity tariffs applicable to consumer units classified in the Rural Class, including Rural Electrification Cooperatives, will be granted for consumption that occurs in irrigation and aquaculture activities carried out in a continuous daily period of 8h30m (eight hours and thirty minutes ) of duration, allowing the concessionaire or permission holder of the public electricity distribution service to establish time scales for the start, by agreement with the consumers, guaranteeing the time between 21:30 (twenty-one hours and thirty minutes) and 6:00 ( six hours) the next day.” (NR)

Art. 122. Article 199 of Law No. 11,101, of February 9, 2005, becomes effective with the following wording:

“Art. 199. …………………………………………………………………………….

§ 1 In the judicial reorganization and bankruptcy of the companies referred to in the caput of this article, under no circumstances will the exercise of rights derived from leasing contracts, commercial leasing or any other type of leasing of aircraft or parts thereof be suspended.

§ 2 Claims arising from the contracts mentioned in § 1 of this article will not be subject to the effects of judicial or extrajudicial recovery, prevailing property rights over the thing and contractual conditions, not applying the exception contained in the final part of § 3 of art. . 49 of this Law.

§ 3 In the event of bankruptcy of the companies referred to in the caput of this article, the property rights over the thing relating to leasing contracts, leasing or any other type of leasing of aircraft or parts thereof shall prevail.” (NR)

Art. 123. The provisions of art. 122 of this Law does not apply to bankruptcy, judicial or extrajudicial recovery proceedings that are in progress on the date of publication of this Law.

Art. 124. As of August 15, 2005, the Federal Revenue Service of Brazil shall, through an agreement, collect and inspect, upon remuneration of 1.5% (one and a half percent) of the amount collected, the additional contribution established by § 3 of art. 8 of Law No. 8029, of April 12, 1990, also observing §§ 4 and 5 of said art. 8 and, where appropriate, the provisions of Law No. 8,212, of July 24, 1991.

Art. 125. Article 3 of Law No. 11,033, of December 21, 2004, becomes effective with the following wording:

“Art. 3rd …………………………………………………………………………….
…………………………………………………………………………….

III – at source and in the individual's annual adjustment statement, the income distributed by Real Estate Investment Funds whose shares are traded exclusively on stock exchanges or on the organized over-the-counter market.

Single paragraph. The benefit provided for in item III of the caput of this article:

I – will be granted only in cases where the Real Estate Investment Fund has at least 50 (fifty) quotaholders;

II – it will not be granted to the individual shareholder holding shares that represent 10% (ten percent) or more of all the shares issued by the Real Estate Investment Fund or whose shares entitle him or her to receive income in excess of 10% (ten percent) of the total earnings earned by the fund.” (NR)

Art. 126. Paragraph 1 of art. 1 of Law No. 10,755, of November 3, 2003, becomes effective with the following wording:

“Art. 1st …………………………………………………………………………….

§ 1 The provisions of this article also apply to irregularities provided for in the previous legislation, provided that they are pending a final judgment in administrative instances.
………………………………………………………………………………….” (NR)

Art. 127. Article 3 of Decree-Law No. 288, of February 28, 1967, shall come into force with the addition of the following paragraphs:

“Art. 3rd …………………………………………………………………………….
…………………………………………………………………………….

§ 3 Goods entered into the Manaus Free Trade Zone under the terms of the caput of this article may later be destined for export abroad, even if used, with the maintenance of the exemption of taxes levied on imports.

§ 4 The provisions of § 3 of this article apply to an identical procedure that, eventually, has been previously adopted.” (NR)

Art. 128. Article 2 of Law No. 8.387, of December 30, 1991, shall come into force plus the following § 19:

“Art. 2nd …………………………………………………………………………….
…………………………………………………………………………….

§ 19. For companies benefiting from the regime dealt with in this Law, manufacturers of polychromatic video output units (monitors), subheading NCM 8471.60.72, the investment percentages established in this article, exclusively on gross revenue resulting from the sale of these products on the market domestic market, are reduced by one percentage point as of November 1, 2005.” (NR)

Art. 129. For tax and social security purposes, the provision of intellectual services, including those of a scientific, artistic or cultural nature, on a very personal basis or not, with or without the assignment of any obligations to partners or employees of the service provider company, when performed by it , subject only to the legislation applicable to legal entities, without prejudice to compliance with the provisions of art. 50 of Law No. 10,406, of January 10, 2002 – Civil Code.

Single paragraph???????? (VETOED)

Art. 130???????? (VETOED)

Art. 131.(Revoked by Law No. 11,482, of 2007)

CHAPTER XVII 

FINAL DISPOSITIONS

Art. 132. This Law enters into force on the date of its publication, producing effects:

I – from the date of publication of Provisional Measure No. 255, of July 1, 2005, in relation to the provisions:

a) in art. 91 of this Law, regarding § 6 of art. 1, § 2 of art. 2, sole paragraph of art. 5th, all of Law 11,053, of December 29, 2004;

b) in art. 92 of this Law;

II – since October 14, 2005, in relation to the provisions:

a) in art. 33 of this Law, regarding art. 15 of Law No. 9,317, of December 5, 1996;

b) in art. 43 of this Law, regarding item XXVI of art. 10 and art. 15, both of Law No. 10,833, of December 29, 2003;

c) in art. 44 of this Law, regarding art. 40 of Law No. 10,865, of April 30, 2004;

d) in art. 38 to 40, 41, 111, 116 and 117 of this Law;

III - from the 1st (first) day of the month following the publication of this Law, in relation to the provisions:

a) in art. 42 of this Law, subject to the provisions of paragraph a of item V of this article;

b) in art. 44 of this Law, regarding art. 15 of Law No. 10,865, of April 30, 2004;

c) in art. 43 of this Law, regarding art. 3 and item XXVII of art. 10 of Law No. 10,833, of December 29, 2003;

d) in art. 37, 45, 66 and 106 to 108;

IV – as of January 1, 2006, in relation to the provisions:

a) in art. 33 of this Law, regarding art. 2 of Law No. 9,317, of December 5, 1996;

b) in arts. 17 to 27, 31 and 32, 34, 70 to 75 and 76 to 90 of this Law;

V – from the 1st (first) day of the 4th (fourth) month subsequent to the publication of this Law, in relation to the provisions:

a) in art. 42 of this Law, regarding item I of § 3 and item II of § 7, both of art. 3 of Law No. 10,485, of July 3, 2002;

b) in art. 46 of this Law, regarding art. 10 of Law No. 11,051, of December 29, 2004;

c) in arts. 47 and 48, 51, 56 to 59, 60 to 62, 64 and 65;

VI – from the date of publication of the joint act referred to in § 3 of art. 7 of Decree-Law no. 2,287, of July 23, 1986, pursuant to art. 114 of this Law, in relation to arts. 114 and 115 of this Law;

VII – in relation to art. 110 of this Law, from the issuance of the act disciplining the matter, observing, as a minimum period:

a) the 1st (first) day of the 4th (fourth) month subsequent to the publication of this Law for the Contribution to PIS/Pasep and to Cofins;

b) the 1st (first) day of January 2006, for IRPJ and CSLL;

VIII – from the date of publication of this Law, in relation to other provisions.

Art. 133???????? Are revoked:

I – as of January 1, 2006:

a) Law No. 8661, of June 2, 1993;

b) the sole paragraph of art. 17 of Law No. 8668, of June 25, 1993;

c) § 4 of art. 82 and items I and II of art. 83 of Law No. 8981, of January 20, 1995;

d) art. 39, 40, 42 and 43 of Law No. 10,637, of December 30, 2002;

II – art. 73 of Provisional Measure no. 2.158-35, of August 24, 2001;

III – art. 36 of Law No. 10,637, of December 30, 2002;

IV – art. 11 of Law No. 10,931, of August 2, 2004;

V – art. 4 of Law No. 10,755, of November 3, 2003;

VI – from the 1st (first) day of the 4th (fourth) month subsequent to the publication of this Law, item VIII of § 12 of art. 8 of Law No. 10,865, of April 30, 2004.

Brasilia, November 21, 2005; 184th of Independence and 117th of the Republic.

LUIZ INÁCIO LULA DA SILVA
Antonio Palocci Filho
Luiz Fernando Furlan
Nelson Machado