The Court of Justice of the State of São Paulo recognized the unconstitutionality of a section of the São Paulo Law No. 17,719/2021, in the part in which it modified the tax legislation to create progressive bands of monthly gross revenue for the purposes of calculation and collection of single-profession companies.
The progressive nature of the ISS brought a significant increase to single-professional companies, as, instead of collecting the tax based on a fixed annual amount per professional, they were now obliged to calculate and pay the municipal tax on presumed monthly gross revenue multiplied by the number of professionals.
To rule out the progressivity of the uniprofessional ISS, the TJ-SP recognized that the new system violates §§ 1º and 3º of art. 9º of Decree-Law 406/1968, as well as constitutional provisions.
