Corn bran and oil now have the same tax treatment as soybeans

Law 14.943/2024 came into force this week, which extends the same tax regulation granted to soybeans to corn bran and oil. Thus, the incidence of the Contribution to Social Integration and Public Servant Asset Formation Programs (Contribution to PIS/Pasep) and the Contribution to Social Security Financing (Cofins) on revenues arising from the sale of products is suspended. .

“It is an important policy to provide more competitiveness, firstly, in the formation of corn prices, secondly because it encourages the production of corn ethanol, aligning with the global demand for cleaner energy”, highlighted the Minister of Agriculture and Livestock, Carlos Fávaro, remembering that Brazil is at the forefront of the production of biofuels such as ethanol, which represents green and renewable energy.

Furthermore, as a consequence of the tax exemption, the minister highlights the positive impact on the entire grain and animal protein production chain. Known as DDG/DDS, corn bran is used for animal nutrition. The contributions that are now suspended represent approximately more than 9% of product prices.

“Cheaper feed for animal protein producers – chicken, pork, beef and fish – and, consequently, cheaper meat for the Brazilian population and more competitive for exports”, explained the minister.

Legal entities subject to the non-cumulative calculation regime for contributions to PIS/Pasep and Cofins may deduct from said contributions, debits in each calculation period, presumed credit calculated on revenue arising from sales on the domestic market or export of classified products. from the Tax Incidence Table on Industrialized Products (Tipi), and classified soy lecithin, also from the Table.

The rates established in the case of sales of soybean and corn oil and other Tipi products are 27%. The percentage will be attributed to the acquisition value of classified soybean oil and corn oil and, in addition, to the input in the production of classified feed.

The full text of Law 14.943/2024:

Art. 1º Law No. 12.865, of October 9, 2013, comes into force with the following changes:

“Art. 29. The incidence of the Contribution to PIS/Pasep and Cofins on revenues arising from the sale of soybeans classified in position 12.01 and products classified in codes 1208.10.00, 2302.10.00, 2303.30.00 and 2304.00 of the Table of Incidence of Tax on Industrialized Products (Tipi), approved by Decree No. 11.158, of July 29, 2022.” (NR)

“Art. 31. The legal entity subject to the non-cumulative calculation regime for the Contribution to PIS/Pasep and Cofins may deduct from the aforementioned contributions, due in each calculation period, a presumed credit calculated on the revenue arising from sales on the domestic market or exports all from Tipi.

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§ 2 ............................................. .................................................... .............

I - 27% (twenty-seven percent), in the case of commercialization of soybean oil classified under Tipi code 15.07 and corn oil classified under Tipi code 1515.2;

II - 27% (twenty-seven percent), in the case of marketing products classified under Tipi codes 1208.10.00, 2302.10.00, 2303.30.00 and 2304.00;

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§ 3................................................. .................................................... ..............

I - the application of the percentage of rates provided for in item I of § 2 of this article on the acquisition value of soybean oil and corn oil classified, respectively, in Tipi codes 15.07 and 1515.2 used as input in the production of:

a) soybean oil and corn oil classified, respectively, under Tipi codes 1507.90.1 and 1515.29;

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II - the application of the percentage of rates provided for in item II of § 2 of this article on the acquisition value of products classified under Tipi codes 1208.10.00, 2302.10.00, 2303.30.00 and 2304.00 used as input in the production of classified feed in Tipi code 2309.10.00.

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Art. 2º From the date of publication of this Law, the provisions of arts. 8th and 9th of Law No. 10.925, of July 23, 2004, will no longer apply to products classified in the following codes of the Tax Incidence Table on Industrialized Products (Tipi):

I - 2302.10.00; It is

II - 2303.30.00.

Art. 3º This Law shall enter into force on the date of its publication.

Brasília, July 31, 2024; 203rd of Independence and 136th of the Republic.