State Decree 46.799/19 Offers Tax Benefits to Thermoelectric and Hydroelectric Companies or Consortiums

The Government of Rio de Janeiro published on October 17 the Decree 46,799/19, which “establishes the differentiated taxation regime for electric power generating plants ” located in the State of Rio de Janeiro. The regime provides deferral of ICMS in the following operations made by thermoelectric and hydroelectric companies or consortiums:
– Import of equipment, parts, and accessories intended for the installation of the project, as long as they are imported through the ports and airports of Rio de Janeiro;
– internal acquisition of equipment, parts, and accessories for the installation of the project;
– interstate acquisition of equipment, parts, and accessories intended for the installation of the project;
– internal acquisition of natural gas, even if liquefied, to be used in its electric power generation process; and
– import of natural gas, even if liquefied, to be used in its electric power generation process, as long as it is imported through the ports of Rio de Janeiro.
The tax benefits also apply to companies that may be contracted or subcontracted for the construction of power generation plants. We remain at your disposal should you need further clarification.