EN 
PT_BR 
The STF (Supreme Federal Court) ruled this Wednesday (05), in a virtual trial, that it is up to the state of destination to charge the ICMS (Tax on Circulation of Goods and Services) in its entirety, and the state of origin cannot charge said tax.
With the result of the vote, the STF granted an extraordinary appeal to allow Rio Grande do Sul to charge ICMS on input electricity sold by the trader Tradener, located in Paraná.
In the action, the company maintained that provisions of the Complementary Law 87/1996 – known as the Kandir Law, which establishes general rules on the tax – removed the incidence of ICMS on interstate shipments of electrical energy destined for the industrialization process. The request was dismissed in the first instance court and by the state Court of Justice, but the decision was reversed by the STJ (Superior Court of Justice).
The winning thesis was proposed by minister Alexandre de Moraes, accompanied by ministers Ricardo Lewandowski, Gilmar Mendes, Carmen Lúcia, Luís Roberto Barroso and Celso de Mello.
According to Alexandre de Moraes, the Federal Constitution, by providing for the ICMS levied on electrical energy in interstate operations, only prevented the collection from being carried out by the state of origin, that is, the producer, without making any restrictions regarding the recipient state. .
“What the STF did was increase the incidence of the tax in favor of the destination state, which will now also be able to charge it when the energy acquired is destined for new commercialization or industrialization by the purchaser. At a time when tax reform is being discussed, the STF comes with a decision that increases the incidence of ICMS”, explained tax lawyer Anderson Ramos.
RJ will be exempt from ICMS in GD
Investors and energy consumers in Rio de Janeiro who have photovoltaic systems in DG (distributed generation), will be exempt from ICMS. The law was sanctioned by Governor Wilson Witzel and published by the Official State Gazette in July and will be valid until December 31, 2032.
