Until the end of the year, the States and the municipalities receive federal Government $ 1.95 billion for the financial aid for promotion of exports (FEX) in 2014. The facility was created by law to compensate the losses Kandir foreign sales caused by the exemption of taxes on exports of primary products.
The amount will be paid in four installments of R $ 487,5 million by the end of the year, according to the law, sanctioned 13,166 yesterday (1st) by President Dilma Rousseff and published last Friday (2) in the Diário Oficial da União. The first tranche will be disbursed on Monday (5). The remaining benefits shall be paid on the last day of October, November and December.
The criteria for distribution among the States were established by the National Council of Financial Policy, a body that brings together the Secretaries of farm States and the Federal District. The municipalities will receive 25% of the distributed resources to the State where they are.
The Constitution of 1988 desonerou of taxes exports, including the tax on circulation of Goods and services (ICMS) and with 25% of the collection shared with the municipalities. The exemption from ICMS on agricultural products and minerals, however, just came out in the late 1990, Kandir law. The value of the compensation, however, is determined each year by the federal Government, as the availability of cash.
Source: Agência Brazil
