CARF dismisses carrier’s liability for stolen cargo

The 1st Panel of the Administrative Council of Tax Appeals (“CARF”) dismissed a carrier’s tax liability in a cargo theft case, understanding that theft or robbery excludes liability. In this case, the carrier was being charged Import Tax, IPI (Import Tax), Import PIS (Import Tax), and Import COFINS (Cost of Income Tax).

According to the rapporteur, theft constitutes a fortuitous event or force majeure and, to support his vote, he applied to the case an understanding arising from the Superior Court of Justice (“STJ”), which determines the exclusion of tax liability in cases of robbery or theft of cargo.