States reduce ICMS on diesel from this Friday

The National Council of Finance Policy (Confaz) decided that the ICMS on diesel will be calculated based on the moving average of prices charged to the final consumer considering the last 60 months calculated until May 2022. Friday, July 1, and runs until December 31, 2022. The decision was published in the Official Gazette (DOU) on June 29.

On June 22, Confaz revoked the agreement that established the single rate of R$ 1.006 per liter of diesel, as a possibility of discounts in each state.

The deliberation of the collegiate considered the decision of the Minister of the Federal Supreme Court (STF) André Mendonça, who determined, on Friday, 17, that the ICMS rates charged on all fuels must be uniform throughout the country.

The STF minister determined that Confaz edit a new rule on the subject. Until then, the calculation of the ICMS rate on fuels must take into account the average prices practiced in the last 60 months.

The measure, taken individually by the magistrate, applies not only to diesel, but also to all fuels. Confaz, however, did not establish a transition rule, it only revoked the agreement.

Mendonça also determined in the definition of the rates that the States consider a minimum interval of 12 months between the first fixing and the first adjustment, and of six months for the subsequent adjustments.

However, the States appealed to the STF and asked that Minister Gilmar Mendes overturn Mendonça’s injunction.