State of Rio de Janeiro sanctions tax regime to attract imports

Rio de Janeiro sanctioned RioComex, a differentiated ICMS taxation regime for foreign trade companies located in the state. The standard was published this Thursday (21) in the Official State Gazette and seeks to recover Rio's competitiveness in import operations.

The justification for the project is to reduce the migration of these operations to competing states.

According to a survey by Sindicarga, more than 60% of trading company activities are concentrated in Santa Catarina and Espírito Santo, while Rio accounts for around 6%, despite having logistical advantages and having the second highest GDP in the country.

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Entities that defended the proposal claim that the measure does not represent a tax exemption, because it aims to attract businesses that are currently carried out outside the state.

The estimate presented by the sector is to generate R$ 2.1 billion per year in ICMS collection, 22 thousand direct jobs and R$ 3 billion in total economic impact.

Among the instruments foreseen are the deferral of ICMS in customs clearance, the presumed credit in interstate operations, the reduction of the calculation base and specific rules for operations on own account, by order and on account and order

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To join RioComex, companies must be qualified in Siscomex, maintain tax regularity and carry out customs clearance at ports or airports in the state.

*Under the supervision of Jenifer Ribeiro

Source: CNN