The Special Debt Renegotiation Has Been Announced by the New Government; Enrollment in the Zero Litigation Program Has Begun, Deadline Until March

The Taxpayer Can Join Starting This Thursday (02) the Tax Litigation Reduction Program, Known as Zero Litigation. This Deadline Goes Until 7 PM on March 31.

This enrollment can still be requested through a digital process at the Virtual Service Center of the Federal Revenue (e-CAC). However, access to e-CAC still requires an account on the Gov.br Portal at the silver or gold level, a digital certificate, or a special code that can be obtained right after the receipt number of the last Income Tax return (for individuals).

The program, which also extends to the Federal Revenue, follows the tax transaction model available since 2020, being for the Attorney General’s Office of the National Treasury (PGFN), which allows for the renegotiation of tax debts still based on the taxpayer’s payment capabilities.

In exchange for the waiver of actions in court (provided, in cases of debts that will be enrolled in the Union’s Active Debt) or disputes with the Administrative Council of Tax Appeals (Carf), the body that has been judging in the sphere of debt administration with the Tax Authorities.

Cash Flow: 

Zero Litigation was announced by the Minister of Finance, Fernando Haddad, about 20 days ago, being presented as a measure to restore the new government’s cash flow in 2023.

This project provides for renegotiation under special conditions of debts with the entire Union. However, although this program operates similarly to other Refis, there is still a slight difference, as the granting of discounts will occur based on the size of the debts and even the type of taxpayer. 

Haddad Is Expected to Announce the Zero Litigation Program 

Discounts: 

Micro and small enterprises, with individuals owing less than 60 minimum wages, will be able to obtain discounts of 40% to 50% on that total debt amount, with a term of up to 12 months to make the payment. 

For companies that owe more than 60 minimum wages, there will also be a total discount of up to 100% on interest and fines for debts considered unrecoverable or difficult to recover. Thus, these legal entities will also be able to use losses from previous years to offset 52% to 70% of this debt.

Regardless of the payment modalities chosen, the minimum installment amount will be around R$ 100 for individuals, around R$ 300 for microenterprises or small enterprises, and R$ 500 for legal entities. The number of installments should also adjust to the values of the debts included in the transaction.