Tax Reform: Tax Benefits Compensation Fund (FCBF)

With the implementation of regulations for the Consumption Tax Reform, the ICMS Tax or Fiscal-Tax Benefits Compensation Fund (FCBF), established by Constitutional Amendment No. 132/2023 and regulated by Complementary Laws No. 214/2025 and No. 227/2026, requires strategic attention from companies.

What is the FCBF?

A fund created to compensate companies that will lose ICMS (Value-Added Tax) incentives during the transition to the IBS (Tax on Goods and Services). Eligibility is not automatic and depends on proof that the benefit was conditional, regular, granted within the legal deadline, and effectively fulfilled. Therefore, companies with state incentives should begin the process of documenting and analyzing their benefits immediately.

Who is eligible for compensation?

Taxpayers who meet all of the following requirements may claim compensation:

• be the recipient of a tax or financial-tax benefit granted for a fixed term and subject to conditions;
• have a grant decision issued on or before May 31, 2023.

Examples of potentially eligible benefits: presumed tax credits or granted tax credits, discounts linked to the amount of tax payable, and financial or financial-tax benefits tied to investment, production, job creation, or operational expansion.

It is important to emphasize that an analysis of the specific case is essential.

Is the right to compensation automatic?

No. Taxpayers must complete the mandatory registration process between January 1, 2026, and December 31, 2028.

Important Dates

What do we recommend right now?

Given the complexity of the issue and its potential financial impact, we recommend that companies begin a structured assessment of their tax incentives immediately.

Expert Support

Count on DPC to analyze the impact and help you adapt your business. Contact us at: dpc@dpc.com.br.