PEANTICM - Calculation of ICMS Advanced Payment for Resale

CONTENTS

01. OVERVIEW

When acquiring goods from another State of the Federation, including for use, consumption and fixed assets, wholesale and retail businesses of the State of Pernambuco are required to pay ICMS in advance.

SF Decree No. 147, of 8/29/2008, which concerns the taxpayer who acquires goods from another State of the Federation, including for use, consumption and fixed assets, was revoked by Decree No. 44,650 of 6/30/2017 - DOE PE of 7/1/2017, in effect from 10/1/2017 onwards.

In accordance with Decree No. 44,650/2017, we have:

Art. 329. The advanced payment of the tax becomes required when goods are acquired from other States by taxpayers:

I – registered in Cacepe in the regular tax calculation system, with the main economic activity of trade, industry or the provision of transportation services;

[...]

Regarding the accretion percentage mentioned, we have transcribed below that which is provided for in Art. 332 of Decree No. 44,650/2017:

Concerning Acquisition Promoted by Trader

Art. 332. The basis for calculating the advanced tax payment corresponds to the value obtained pursuant to item 1 of point "d" of line II of article 29 of Statute No. 15,730 of 2016.

1st § In the hypothesis of acquisition by the taxpayer listed in Annex 12 of this Decree, the MVA therein described is applied on the value obtained pursuant to caput.

Item 1 of point "d" of line II of article 29 of Statute No. 15,730 of 2016 sets out the following:

Law No. 15,730 of 2016
Art. 29.The calculation base of advanced tax payment provided for in art. 28 is:
[...]
II -When the tax is collected by the taxpayers themselves, at the discretion of the Tax Authorities, by decree of the Executive Branch:
[...]
d) concerning interstate inflows: (Statute No.15,997/2017 – in effect from 4/1/2017)
1. the value obtained pursuant to line XI of art. 12, increased of, where applicable, the added value margin pursuant to item 3 of point "c" of line I;

To calculate the advanced tax due, the taxpayer must use the tax calculation base and the internal rate of the product. 

Art. 333. The calculation of the advanced tax payment is performed by applying the tax rate percentage applicable to internal operation on the respective calculation base, deducting the credit value highlighted in the tax document of acquisition from the result obtained, pursuant to art. 327.

Moreover, we highlight below the situations in which MVA must not be used:

Art.332
[...]
2nd § The MVA pertaining the 1st § must not be used when the following conditions are met:
I - the taxpayer be not beneficiary of special taxation system; and
II - the average biannual acquisition of goods by transfer, from another State, be higher than 60% (sixty percent) of the total value of inflow of goods, in relation to:
a) the calendar half-year immediately prior to the aforesaid request in point "a" of line I of the 3rd §, and (Statute 45,066/2017 - In effect from 10/1/2017)
b) the calendar half-years subsequent to the one in which the aforesaid request is deferred by Tax Authorities in point "a" of line I of the 3rd §, and (Statute 45,066/2017 - In effect from 10/1/2017)
III - be registered in Cacepe with main economic activity classified in one of the following CNAE codes: 4621-4/00, 4631-1/00, 4637-1/01, 4637-1/02, 4637-1/03, 4637-1/07, 4637-1/99, 4639-7/01, 4639- 7/02 e 4691-5/00. (Statute 45,066/2017 – In effect from 10/1/2017)

Given the information displayed, we notify that when the taxpayer is listed in the CNAE codes found in Annex 12 of Statute 44,650/2017, they must add the accrual percentage to the ICMS advance payment calculation; that is, the MVA percentage.

The retail and wholesale trade taxpayers subject to advanced payment of the tax when acquiring goods from another State, must add to the calculation the amount of the application of percentages specified in Annex 12 of Statute No. 44,650/2017 in effect from 10/1/2017.

As offered in the Fiscal Newsletter of the Tax Authorities of Pernambuco, a summary frame was published to inform the calculation base to be used for the advanced payment of the tax, as shown below:

Acronyms used:

Calculation base for taxpayer classification:

As an example, when the sale is targeted, we get:

OPERATION VALUE = BRL 1,000.00

INVOICE RATE = 12%

INTERNAL RATE = 18%

ICMS VALUE = BRL 120.00

BCI= 1,000.00 -120.00 = 880.00 / 0.82 = 1,073.17
BCI= 1,073.17 + 30%(MVA) = 1,395.12
ICMS Paid in Advance: 1,395.12 x 18% = 251.12
ICMS advanced payment: 251.12 – 120.00 = 131.12

Be mindful that the MVA percentage is not used in the situations listed in the 2nd § of Art. 332, as shown above.

For further details:

https://www.sefaz.pe.gov.br/Publicacoes/Novo%20regulamento%20ICMS/Informativos%20a%20partir%20de%2001.10.2017/BASE%20DE%20C%C3%81LCULO%20NAS%20ENTRADAS%20INTERESTADUAIS.pdf

02. SYSTEM PARAMETER SETTINGS

03. EXAMPLE

For the system to consider the MVA percentage indicated in Annex 12 of Statute No. 44,650/2017, you need to register this percentage via the State x State (FISA080) register or through the Tax Exception (FISA134) register for interstate operations.

• • For further information about the use of the State x State register, refer to the documentation found in FIS0058_STATE X STATE_CFC
  • For further information about the use of the Tax Exception Rules, refer to the documentation found in FIS00013_Tax Exception Maintenance Facilitator

In the Purchases module, add an Incoming Document with interstate origin. After filling out the header and the Incoming Document items, check the tab Taxes for the calculation performed.