Several Commercial and Industrial Associations in the State of São Paulo offer their associates the service that aims to reduce the companies’ tax burden. After many years of waiting (25 years), it is now considered unconstitutional by the STF (Federal Supreme Court). The advantage is the possibility of benefiting from the “Action Collective writ of Mandamus” effects, which has been taking in the court for at least 15 (fifteen) years and which pleads for the exclusion of the ICMS ( Services Tax over Merchandise Circulation) collection from the PIS (Social Integration Program) and the COFINS (Contribution for Social Security Financing) tax base.
This exemption applies both to future payments and to recovery of amounts unduly paid in the last five (5) years, which in some cases may reach 17 years, as a collective action.
Below, we have made a selection of the avant-garde and pioneer associations that offer this service to their associates.
This is an “Action Collective writ of Mandamus” that aims to recover significant credits collected by the Federal Government, which has been generating long legal battles for having been collecting induly overpayments by our Federal Constitution of 1988, such as PIS and COFINS, as a result of inclusion of ICMS on its collection base.
The companies of industry and commerce which have “Actual Income Method” or “Deemed Taxable Income Method” regimes.
The companies will be entitled to ICMS deduction credits in the PIS/COFINS calculation basis on Revenues collected over (overpayments) for long years and may use them to offset all federal taxes, less social security taxes, taxes futures. In addition to excluding the higher paid amounts from now on.