Bárbara de Alcântara Mattos
Lawyer at Marcos Martins Advogados
A change in the legislation that governs the way cases are judged by the Administrative Council for Tax Appeals ( CARF ) has benefited taxpayers, who have been able to obtain favorable decisions in matters in which they were usually defeated.
This change came about with the end of the so-called casting vote, which was given by the president of the panel and the Treasury representative when there was a tie between the other judges.
Now, when there is a tie in the trial, the decision must favor the taxpayer, i.e. the tie-breaker will always be in his favor.
As a result of this new system, a company was able to overturn a tax assessment relating to interest on equity, obtaining a deduction of R$14.6 million from the IRPJ and CSLL calculations.
This innovation in the legislation is therefore positive, as it gives taxpayers the opportunity to resolve disputes at the administrative level, avoiding court litigation.
Marcos Martins Advogados makes its tax team available to answer any questions on this issue.
