Producers have until the end of this month to choose which scheme will collect the Funrural contribution

The month of January marks the period in which rural producers, both individuals and legal entities, must observe deadlines for contributing to Funrural. Pursuant to the provisions of Federal Law No. 13.606/2018, which amended the wording of Federal Law No. 8.212/1991, this deadline is until the 31st, until which time the collection option that best suits must be chosen. The Funrural contribution must be collected on gross production revenue or on employees' payroll.

HBS Advogados specialist, Roberto Bastos Ghigino, advises that producers carry out a careful analysis of the most economically advantageous option. “Once the desired contribution modality has been signed up, it will be valid for the entire annual tax year and can only be changed in the following tax year”, he warns.

For the individual rural producer who opts for the contribution on gross production, the rate will correspond to the percentage of 1,3%, divided into 1,2% for the INSS contribution and 0,1% for the Environmental Risk of Work. If the option is to make a payroll contribution, the rate will correspond to 23%, divided into 20% for the INSS contribution and up to 3% for Environmental Risk at Work. The contribution to Senar, at the rate of 0,2%, remains due on sales.

For those rural producers who operate their activity as a legal entity and who opt for the contribution on gross production, the rate will correspond to the percentage of 1,8%, divided into 1,7% for the INSS contribution and 0,1% for Environmental Risk at Work. If the option is to contribute to the payroll, the rate will correspond to the percentage of 23%, divided into 20% for the INSS contribution and 3% for the Environmental Risk of Work. The contribution to Senar, in turn, will be 0,25% on sales.