The Supreme Federal Court (STF) is about to decide a crucial issue for Brazilian exporters: the reduction of Reintegra tax rates by decree. Created to stimulate exports, Reintegra refunds part of the taxes paid on manufactured goods. However, successive government decrees have reduced the maximum tax rate to 0.1%, which has had a significant impact on the industrial sector.
The National Confederation of Industry (CNI) and the Brazilian Steel Institute are challenging the Supreme Federal Court (STF) whether the government can change these rates without a valid justification. They argue that this reduction violates constitutional principles, such as the prohibition on exporting taxes and free competition. Currently, the vote is 3-2 in favor of the federal government, which claims that the change aims to preserve the public budget, with an impact of up to R$49.9 billion.
The reporting judge, Justice Gilmar Mendes, understands that Reintegra is a tax benefit adjustable by the government, not equivalent to constitutional export immunities, and may have reduced rates. His vote was supported by Justices Alexandre de Moraes and Dias Toffoli.
On the other hand, Justice Luiz Fux voted in favor of taxpayers, arguing that the reduction in Reintegra rates increases the tax burden, violating the principle of non-exportation of taxes and international commitments. Justice Edson Fachin agreed with this view.
The Supreme Federal Court’s decision will have significant implications for the industrial sector. If your company was affected by this tax rate reduction, there is an opportunity to challenge it in court, protecting your rights and competitiveness in the global market. Filing a lawsuit now can guarantee the reinstatement of the previous tax rates and ensure the right to reimbursement for amounts unduly paid over the past five years.
