Recently, the Federal Revenue Service of Brazil (“RFB”) published Tax Ruling COSIT No. 95/2023 (“SC 95/23”) in which it was analyzed whether revenues arising from indirect exports - carried out through commercial export companies - ; are part of the tax calculating basis of the Social Security Contribution on Gross Revenue (“CPRB”).

The understanding of the RFB was that, as in the case of direct exports, revenues arising from indirect exports are also not part of the tax calculation basis of the CPRB, provided that the export is carried out within 180 days from the date of issuance of the tax invoice by the producing company.

Although SC 95/23 analyzed transactions by taxpayers subject to the CPRB, in a judgment carried out under the general repercussion regime (RE nº 759244 – Item 674) the Federal Supreme Court (“STF”) had already decided to exempt indirect exports carried out by agribusiness taxpayers, which is subject to the levy of the contribution to the Rural Worker Assistance Fund (“FUNRURAL”).

Therefore, we recommend that CPRB and FUNRURAL taxpayers analyze whether they have submitted indirect export revenues to taxation of these contributions and consider the possibility of reimbursement of amounts unduly paid in the last 5 years, updated by the SELIC Rate.

By Henrique Erbolato