Statute for the Simplification of Ancillary Obligations has been enacted

Law provides for the consolidation of tax obligations and data exchange among tax authorities

Supplementary Law No. 199/2023 was published in the Official Gazette of August 2, launching the National Statute for the Simplification of Ancillary Tax Obligations. The new regulation aims at reducing the costs associated with tax obligations while encouraging compliance from taxpayers:

The simplification addressed by the act promotes the following measures:

• Issuance of electronic tax documents in a single format;
• Use of data from tax documents for assessing taxes and for issuing prefilled statements and payment forms;
• Consolidation of collection documents, aimed at streamlining the payment of taxes and contributions; and
• Consolidation of tax registers and data sharing in compliance with the legal authorities.

To help enforce these measures, the law established the creation of the National Committee for the Simplification of Ancillary Tax Obligations (CNSOA), aimed at automating tax bookkeeping procedures, with minimal intervention from taxpayers, based on the electronic tax documents issued by them.

Impacts for businesses

The statute provides for the consolidation of electronic tax documents and data sharing among tax authorities of federal, state and local levels.

As such, statements and returns may be prefilled based on the information supplied, speeding up accountability and granting more accuracy to the whole process.

The law also provides for the consolidation of tax payment forms, regardless of government level in charge of the collection, which may impact the need for the multiple forms already in use.

It should be noted that the statute still requires further regulation to determine how the consolidation and simplification of tax obligations will be carried out and which of them will be affected.

Tax obligations in good standing

Our team at Domingues e Pinho Contadores is always up to date with the latest tax rules, ensuring compliance with its clients' tax obligations. You can count on this support: dpc@dpc.com.br.