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The Registration of Service Providers of Other Municipalities (CPOM) was an initiative of the prefectures of several Brazilian states in order to guarantee the correct payment of the service tax (ISS) in typical cases in which the provider has a CNPJ an EIN in a municipality other than where the service will be provided. This measure aims to combat tax evasion practiced by some companies that use fictitious addresses to pay less taxes.
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- City A - 2% ISS rate
- City B - 5% ISS rate
- Service provider’s CNPJ EIN - City A
- Service contractor’s CNPJ EIN - City B
Prefecture of city B requires CPOM
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