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Oil and Gas Industry will be exempt from payment of ICMS on the acquisition of machinery and equipment on interstate exits
Seeking to encourage job creation and stimulate GDP growth in São Paulo next year, the State Government announced this Wednesday, 29, the reduction Tax on the Circulation of Goods and Services (ICMS) for some important sectors of the economy of São Paulo. The Oil and Gas equipment sector was one of the benefitted .
The government of the state of São Paulo benefited the following sectors of the economy with the ICMS reduction: Medicines, Used Vehicles, Electric Vehicles, Juices and natural drinks, in addition to Oil and Gas Equipment.
The oil and gas equipment sector will have a aliquot different from other sectors. The rate changes from 12% this year to exemption from January 2022.
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"With the recovery of investment capacity in the State of SP, we managed to reach our fiscal target and with that we will make it possible to reduce taxes in SP and anticipate tax exemptions for the economy of SP as of January 1, 2022”, said Governor João Dória.
How will the Oil and Gas sector work in São Paulo in 2022
As the oil and natural gas industry is a great generator of jobs and income, the state government decided that it will no longer charge 12% for the purchase of machinery and equipment on interstate exits.
The government of the State of São Paulo informed that as it will benefit job-generating sectors it is possible due to the fiscal adjustment of the state, in addition to a growth economic above the national average.
With the changes, sectors are expected to develop further, generating more job openings in the state and recovering once and for all from the serious consequences of the pandemic.
