Lawmakers Approve Provisional Measure That Changes Taxation Rules for Hydrated Ethanol Fuel Chain

Written by Roberta Souza

Published on 04/06/2022 at 08:50

Foto de Ekaterina Belinskaya / Fonte: Pexels

Be the first to react!

MP Determines Adjustments on the Taxation of Tributes Related to the Production and Marketing Chain of Hydrated Ethanol Fuel

On this Wednesday (the 1st), the Chamber of Deputies approved a Provisional Measure (MP) that makes changes regarding the collection of the Contribution to the Social Integration Programs and the Public Server Heritage Formation (PIS/Pasep) and the Contribution for the Financing of Social Security (Cofins), taxes applicable to the production and marketing chain of hydrated ethanol fuel.

In January, the MP had already been sanctioned and, in the following month, issued by President Jair Bolsonaro. It now proceeds to Senate approval.

As recommended by Deputy Vinicius Carvalho (Republicanos-SP) – the MP’s rapporteur – the text is to be approved in the same manner it was originally issued by the Executive Branch, without any modifications.

ARTICLE CONTINUES BELOW

MP Proposes That All Actors in the Ethanol Chain Are Subject to the Same Tax Burden of Social Contributions

The MP proposes that, in order to avoid revenue losses, the tax burden of the social contributions be the same for all actors in the ethanol chain, whether in the direct sale from the producer or importer to the retailer or in the sale intermediated by a distributor. In this way, the collection is made in advance by the selling company of the fuel or by the distributor and, subsequently, passed on to the price.

Furthermore, the Provisional Measure also stipulates that the producer agent, the marketing company, and the importer of hydrated ethanol fuel are permitted to market the fuel with the distributor agent, the reseller-retailer transporter, the fuel retailer, and the external market.

The reseller agent, in turn, becomes authorized to obtain and market hydrated ethanol fuel from the producer agent, the distributor agent, the marketing company, the importer, and the reseller-retailer worker.

Marketing Cooperatives Are Equivalent to Producer Agents of Hydrated Ethanol Fuel

The MP also states that the marketing cooperatives will not have direct participation in the market, given that they are equivalent to the producer agents of hydrated ethanol fuel.

If the cooperatives conduct direct business with retailers, they will pay a combination of rates on revenue and on the volume of the product. This will be applicable to those who have not chosen a PIS/Cofins taxation regime based on production volume.

Thus, if the cooperative decides to opt for taxation based on produced volume, it will pay the sum of the rates in force since 2008. On the other hand, if the taxation is based on revenue obtained from the sale, it will correspond to 1.5% of PIS and 6.9% of Cofins, in addition to R$ 19.81 per cubic meter and R$ 91.10 per cubic meter of PIS and Cofins, respectively, since they are equivalent to a distributor.

MP Aims to Impose Its Own Rules for Direct Sales by Cooperatives

The Provisional Measure aims to prevent the sale of ethanol by cooperatives directly to retail trading legal entities from resulting in tax waivers, in addition to ensuring that the reseller-retailer transporter is also subject to the provisions regarding the contribution for PIS/Pasep and Cofins applicable to retail traders. Ultimately, it can be seen as another attempt by the government to reduce the fuel prices.

It is also important to mention that the proposal modifies the rules established by Law No. 14,292, dated January 3, 2022, which institutes the direct sale of ethanol from the producer or importer to retail trading legal entities, particularly in order to impose its own regulation for direct sales conducted by cooperatives.

Lawmakers Approve Provisional Measure That Changes Taxation Rules for Hydrated Ethanol Fuel Chain

MP Determines Adjustments on the Taxation of Tributes Related to the Production and Marketing Chain of Hydrated Ethanol Fuel

MP Proposes That All Actors in the Ethanol Chain Are Subject to the Same Tax Burden of Social Contributions

Marketing Cooperatives Are Equivalent to Producer Agents of Hydrated Ethanol Fuel

MP Aims to Impose Its Own Rules for Direct Sales by Cooperatives

A village with 115 inhabitants wants new residents: it offers a house, a job, up to 44 thousand euros in benefits, almost free rent, an annual grant of 8 thousand euros for 3 years, and a 20 thousand euro incentive for businesses in the mountains of Italy.

NASA is offering US$ 750,000 to people from anywhere in the world who solve a problem that could decide survival on Mars: creating food for astronauts without relying on resupply from Earth.

Belgium will sink 23 giant concrete caissons, each weighing 22,000 tons, in the North Sea to build the world’s first artificial energy island 45 km off the coast, forming offshore electrical walls.

New microwave that can replace three appliances hits the market: Sharp launches 3-in-1 model that combines air fryer, convection oven, and heating in 0.9 cubic feet for small kitchens

While Brazil has been discussing bullet trains for 16 years, China delivers 5 new high-speed lines in 2026, surpasses 50,000 km of HSR, and moves 1 billion passengers in a single year.

While countries spend billions to draw water from the sea, a Nobel-winning scientist creates a container-sized machine that extracts up to 1,000 liters per day from dry air and uses ultrasound to release water in minutes, even in the middle of the desert.

With an 88-meter wingspan, a capacity of 250 tons, six engines, and 32 wheels, the Ukrainian giant became the greatest symbol of extreme air transport and one of the most impressive machines in aviation history.

What’s worth buying in Paraguay in 2026 reveals an absurd difference in electronics, with MacBook over R$ 11 thousand cheaper and PS5 for half the price.

With a TSI engine of up to 150 hp, a 420-liter trunk, a 10.1-inch VW Play infotainment system, and almost 7,900 units sold in April 2026, Volkswagen’s SUV remains the segment leader, leaving Creta, Tracker, and Compass behind.

A young woman from a Rio de Janeiro community, daughter of a single mother and a former public school student, has been accepted into one of the world’s most competitive universities and also secured spots at four other US institutions.

Researchers found evidence that the human brain can react to the Earth’s magnetic field, according to a study published in the journal eNeuro. The participants remained in a sealed chamber and didn’t even notice when the magnetic field was altered.

The next generation of the Toyota Corolla could become almost unrecognizable next to the current model, according to projections, the images show a tapered front end, LED bar headlights, recessed door handles, and a new rear end with two light strips.

Lawmakers Approve Provisional Measure That Changes Taxation Rules for Hydrated Ethanol Fuel Chain

MP Determines Adjustments on the Taxation of Tributes Related to the Production and Marketing Chain of Hydrated Ethanol Fuel

MP Proposes That All Actors in the Ethanol Chain Are Subject to the Same Tax Burden of Social Contributions

Marketing Cooperatives Are Equivalent to Producer Agents of Hydrated Ethanol Fuel

MP Aims to Impose Its Own Rules for Direct Sales by Cooperatives

A village with 115 inhabitants wants new residents: it offers a house, a job, up to 44 thousand euros in benefits, almost free rent, an annual grant of 8 thousand euros for 3 years, and a 20 thousand euro incentive for businesses in the mountains of Italy.

NASA is offering US$ 750,000 to people from anywhere in the world who solve a problem that could decide survival on Mars: creating food for astronauts without relying on resupply from Earth.

Belgium will sink 23 giant concrete caissons, each weighing 22,000 tons, in the North Sea to build the world’s first artificial energy island 45 km off the coast, forming offshore electrical walls.

New microwave that can replace three appliances hits the market: Sharp launches 3-in-1 model that combines air fryer, convection oven, and heating in 0.9 cubic feet for small kitchens

While Brazil has been discussing bullet trains for 16 years, China delivers 5 new high-speed lines in 2026, surpasses 50,000 km of HSR, and moves 1 billion passengers in a single year.

While countries spend billions to draw water from the sea, a Nobel-winning scientist creates a container-sized machine that extracts up to 1,000 liters per day from dry air and uses ultrasound to release water in minutes, even in the middle of the desert.

With an 88-meter wingspan, a capacity of 250 tons, six engines, and 32 wheels, the Ukrainian giant became the greatest symbol of extreme air transport and one of the most impressive machines in aviation history.

Delayed FGTS will offer online consultation starting in June, and workers will be able to track pending amounts through the Regularize Portal without leaving home, in a change that promises to speed up forgotten deposits.

BRICS powerhouse, partner of China, Brazil, and Russia, could become the 4th largest air market on the planet by 2030, driven by 280 million inhabitants, 17,000 islands, and an explosion in demand for flights and modern airports.

The bridge connecting Brazil and Paraguay has a colossal structure, 1,294 meters over the Paraguay River, and 90% of the works completed, but customs bottlenecks, lack of resources, and obstacles between 4 countries still threaten the operation of the 2,400 km Bioceanic Route.

A ship becomes central to Petrobras’s billion-dollar contract, and a Santa Catarina shipyard will build four R$ 11 billion subsea vessels to operate in deep waters starting in 2030.

A 45 km² oil slick appears in satellite images near Kharg Island, an area that accounts for 90% of Iran’s oil exports.

What’s worth buying in Paraguay in 2026 reveals an absurd difference in electronics, with MacBook over R$ 11 thousand cheaper and PS5 for half the price.

With a TSI engine of up to 150 hp, a 420-liter trunk, a 10.1-inch VW Play infotainment system, and almost 7,900 units sold in April 2026, Volkswagen’s SUV remains the segment leader, leaving Creta, Tracker, and Compass behind.

A young woman from a Rio de Janeiro community, daughter of a single mother and a former public school student, has been accepted into one of the world’s most competitive universities and also secured spots at four other US institutions.

Researchers found evidence that the human brain can react to the Earth’s magnetic field, according to a study published in the journal eNeuro. The participants remained in a sealed chamber and didn’t even notice when the magnetic field was altered.

The next generation of the Toyota Corolla could become almost unrecognizable next to the current model, according to projections, the images show a tapered front end, LED bar headlights, recessed door handles, and a new rear end with two light strips.