Decree changes DIFAL rules for companies under the Simples Nacional tax regime.

It was published in the State Official Gazette on (February 20th), in a supplement dated February 16th, decree number 9.162/2018 amending decree no. 9.104/2017, which deals with the application of the ICMS differential tax rate (Difal) related to the difference between the internal tax rate (practiced in the destination State) and the interstate tax rate for taxpayers opting for the Simples Nacional regime.

Among the changes, the decree formalized the alteration in the effective date, meaning it will be from March 1st for all companies in Goiás under the Simples Nacional tax regime, including those classified as MEI (individual micro-entrepreneurs). All will be subject to the DIFAL (Differential Tax) when purchasing products from other states. Furthermore, in response to a demand from the productive sector, the benefit of the reduction in the tax base of 11% already granted will be taken into account in the DIFAL calculation. In practice, applying the DIFAL formula introduced by the decree will mean a reduction to 4.49% in the tax.

Learn more: To give an idea of the impact of micro and small businesses on the state economy, according to the coordinator of the Simples Nacional (Simplified National Tax System), Norton Pinheiro, companies under the Simples system generated R$31 billion in sales and R$21 billion in product purchases in 2016. "The sector has shown upward growth in financial transactions," he highlighted.

It should be noted that the decree excluded raw material acquisition transactions from the mandatory DIFAL tax. This provision benefits important sectors of the Goian economy, such as the clothing industry.