What is it?
Regime that allows foreign goods to enter the country for a fixed period, with: (a) total suspension of taxes when there is no economic use; or (b) payment proportional to the length of stay when there is economic use. At the end, it requires re-export or another regular customs destination.
Modalities
The legislation provides for three: (i) temporary admission with total suspension of taxes, for goods with no economic use in the country; (ii) temporary admission for economic use, with proportional payment of 1% per month (or fraction thereof) on the amount that would have been due on import, with the balance of taxes remaining suspended, with sectoral exceptions in which there is an exemption; and (iii) temporary admission for inward processing, when the goods are used in processing, assembly, repair or maintenance, with total suspension during the regime and re-export or other regular destination at the end.
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Suspended taxes
The following are totally or partially suspended: (i) Import Tax; (ii) IPI; (iii) PIS/Cofins-Import; and, depending on the nature of the operation or the imported good, also (iv) CIDE-Fuels; (v) AFRMM and (vi) ICMS.
Advantages
It reduces costs and preserves cash by suspending taxes on imports; provides flexibility for temporary operations with controlled deadlines and destinations; enables tests, events, maintenance and pilot projects without definitive internalization; increases competitiveness in short-term contracts and in global chains; simplifies logistics with re-export at the end and, when there is economic use, allows proportional payment, avoiding full taxation of goods that will not remain in the country.
Conditions
These include: using the goods within the concession period and exclusively for the purposes that justified their importation. Failure to comply results in the suspended taxes being demanded. This is why the RFB maintains strict control through analysis prior to the concession and during the validity of the regime, reviewing the operations parameterized for the green channel and verifying the regularity of the procedures required for its extinction.
