The Minister of the Federal Supreme Court (STF) André Mendonça extended for 30 days the deadline for the implementation of the single-phase collection regime and with a uniform rate of the Tax on Circulation of Goods and Services (ICMS) on fuels. The decision was signed yesterday (1st).
With the single-phase regime, the tax is collected once in the fuel production chain and at a uniform rate. The decision applies to all states.
The decision was motivated by a postponement request made by the National College of Attorneys General of the States and the Federal District (Conpeg) to the minister. The entity considered the initial deadline for compliance with the decision to be unfeasible.
In September, Mendonça determined that states must follow the provisions of Complementary Law 192/2022 and Constitutional Amendment 33/2001 with regard to the single-phase ICMS collection regime. The decision dealt with the impact on hydrated ethanol.
Despite extending the implementation deadline, Mendonça warned that the lack of effective implementation of the single-phase regime will result in non-compliance with the court decision.
The issue of charging ICMS on fuel has been debated since August this year at the STF. Representatives of the states and the federal government are meeting in public hearings to try to reach an agreement on the issue of lost revenue.
State governments argue that the laws dealing with ICMS on fuels disrupt budget programming and bring down public revenues.
