[Free translation]
The CPRB - Social Security Contribution on Gross Revenue, provided for in Law 12,546 / 11 was instituted to replace the employer's social security contribution on the payroll of certain business activities. It was intended, therefore, to exempt the tax incidence on the sheet, since the CPRB is based on the gross revenue of the company.
To the general surprise, Provisional Measure No. 774 (03/30/17) recently revoked the CPRB for most economic activities. Few sectors of the economy will remain under the regime.
Also, according to MP 774/17, as of July 1, 2017, companies must re-collect the employer's contribution on the sheet.
It should be noted that the companies were obliged to make an irreversible choice at the beginning of the year by the form of taxation (CPRB or sheet). Now, those who have chosen to pay the CPRB are obliged, in the course of the financial year, to collect the social security contribution on the sheet (more serious situation).
In fact, we believe that MP 774/17's expectation of re-taxation as of July 2017 is unconstitutional. This is because it violates, among others, the principles of legal certainty, the protection of trust in the relationship between the tax authorities and the freedom to exercise economic activity.
The CPRB option at the beginning of 2017 was mandatory and irreversible for the taxpayer. Therefore, the Government's intention to change the rule in the middle of the game is not legitimate.
MP 774/17 still needs to be voted on by the National Congress and, therefore, may change on this point. However, the start of the validity of the new contribution rule begins on 07/01/17. That is, before the end of the deadline for analysis of the Congress.
In this context, we consider it appropriate to apply for a judicial measure in order to keep the company under the CPRB regime until the end of 2017.
