Despite its wide application, there are some activities that are not included in the collection of this tax. These include:
- Marketing and circulation of books, newspapers and periodicals, including the paper used in their printing.
- Export of goods.
- Operations related to electricity, oil and fuels.
- Gold-related operations, when considered a financial asset or foreign exchange instrument.
- Leasing operations.
- Fiduciary alienation operations in guarantee.
- Transfer of property or movable property, whether from commercial, industrial or other establishments.
- Goods intended to provide the author’s own service, if authorized by the municipal supplementary law.
Specific cases of the state legislation.
How do I pay ICMS?
In order to collect the ICMS, the company must register with the State Finance Department of the region where it operates. In this process, your State Registration (IE) is acquired, a numerical sequence confirming that your business is a contributor to this tax.
It is important to be aware, since the registration varies from state to state. To do this, contact the department in your locality to find out what documents are required and the procedure to do your IE or count on the help of an accountant. Using the www.taxfyle.com/sales-tax-calculator is useful here.
What happens if I don’t collect this tax?
When a company fails to comply with this obligation, it ends up becoming in default with the tax authorities and – at one time or another – will have to regularize its situation and pay the arrears. And, yes, that means having to bear interest, fixed in accordance with the SELIC rate for the period and accumulated since the month of tax due.
Complying with the payment of ICMS is very important to keep your company regular and avoid preventing tax problems, in addition to avoiding paying a larger amount than would be necessary – which can compromise the company’s cash and investments.
A good accountant makes you more secure with your ICMS
Having an accountant who understands the need for these processes and who can assist you is very important for your company. This professional will stay connected in the calculations of the ICMS and the other accessory obligations of the company, thus avoiding that you pay more taxes than you should.
This whole process can be even more practical if you choose an online accounting service. To know the benefits of this modality, check out our article 5 Reasons to hire an Online Accounting office and Modernize your Company.
Many doubts arise when opening a company. One is to know which tax regime will be applied to it. After all, it is necessary to know what types of taxes the company will need to pay and their respective rates.
First, it is necessary to understand what types of companies can be opened and their tax regimes. Follow below and stay on top of how the corporate taxation process works!
What are the types of companies?
In Brazil, it is possible to set up companies of the most diverse legal natures that vary according to their size and tax framework. By understanding the meaning of each company, it will be possible to identify the one that best fits your business.