Faesp wants to encourage adherence to the Electronic NF and expand the use of ICMS credits

The Federation of Agriculture and Livestock of the State of São Paulo (FAESP) wants to expand rural producers' adherence to the Electronic Invoice and the use of credits from the Tax on Circulation of Goods and Services (ICMS). Its president sent letters to the vice-governor of São Paulo, Rodrigo Garcia, and to the state secretaries of Finance and Agriculture and Supply, Henrique Meirelles and Itamar Borges, respectively.

"With the start of operation of E-credRural, there was an important improvement in the process of managing ICMS credits for rural producers. The bookkeeping, approval and authorization of use of the resource became easier, faster and more transparent. However, its use it is not yet a full reality for the majority of rural producers", says president Fábio de Salles Meirelles.

The president of FAESP emphasizes that São Paulo legislation conditions the use of such credits to the use of E-credRural and the issuance of an Electronic Invoice, systems that are not yet part of the reality of many rural producers in São Paulo, due to lack of knowledge or familiarity with technology, stable internet signal or the high cost of investment involved. To reduce such obstacles, the entity proposes the following cooperation and improvement measures in ICMS legislation:

• Development of an application by SEFAZ/SP for offline issuance of NF-e by São Paulo producer, in internal operations, along the lines of what is done in Rio Grande do Sul and Minas Gerais. The proposal is to build a free, simplified and intuitive system, which reduces the cost of issuing NF-e in São Paulo.

• Creation of specialized producer service teams at Tax Stations that have Emergency Care Services (Avaré, Dracena, Itapetininga, Penápolis, Registro, São João da Boa Vista, São José do Rio Pardo and Tupã). This direct channel with SEFAZ/SP, aimed at clarifying specific doubts in the sector, has been a long-standing demand from rural producers.

• Implement new ways of using ICMS credit by rural producers, such as transfers to pay for new items (spare parts, tires, lubricants, wood, construction materials, etc.); transfer for payment of products that do not necessarily involve agricultural production items;
payment of other taxes or financing and/or its use as a guarantee for financing, among others
proposals.

• Review the revocations promoted by Decrees nº 64.213/19, 65.254/20 and 66.054/21, which will negatively impact the maintenance of ICMS credits on inputs of agricultural inputs, through the reversal or non-recognition of credits in operations with exempt outputs, incurring an increase in production costs for agricultural activities.

In addition to proposing measures to improve ICMS legislation, the entity intends to develop joint educational work with SEFAZ/SP. The initiative must be aligned with the agenda of the ICMS - 6 group, discussed within the scope of the development of Integrated Projects, an action that involves FAESP/SENAR-SP, the State Department of Agriculture and Supply and Sebrae-SP.