{"id":7617,"date":"2026-06-30T09:31:41","date_gmt":"2026-06-30T12:31:41","guid":{"rendered":"https:\/\/marinsbertoldi.com.br\/?p=7617"},"modified":"2026-06-30T09:31:41","modified_gmt":"2026-06-30T12:31:41","slug":"registration-with-the-tax-incentives-compensation-fund-new-efd-icms-ipi-reporting-field-requires-taxpayer-attention-starting-in-2027","status":"publish","type":"post","link":"https:\/\/marinsbertoldi.com.br\/en\/registration-with-the-tax-incentives-compensation-fund-new-efd-icms-ipi-reporting-field-requires-taxpayer-attention-starting-in-2027\/","title":{"rendered":"Registration with the Tax Incentives Compensation Fund: New EFD ICMS\/IPI Reporting Field Requires Taxpayer Attention Starting in 2027"},"content":{"rendered":"\n

By J\u00e9ssica Heinzen<\/strong> and Raphael Scheffer Lima<\/strong>

The Brazilian Tax Reform has established a transition schedule for replacing the ICMS (State Value-Added Tax) with the IBS (Tax on Goods and Services). Between 2029 and 2032, ICMS rates will be gradually reduced while IBS rates will increase proportionally. As the ICMS rates decrease, the tax incentives associated with ICMS will also be progressively reduced. As of January 2033, ICMS\u2014and the tax incentives linked to it\u2014will be fully extinguished.<\/p>\n\n\n\n

To mitigate the effects of this transition, Supplementary Law No. 214\/2025 created the Tax Incentives Compensation Fund<\/strong> (Fundo de Compensa\u00e7\u00e3o de Benef\u00edcios Fiscais<\/em>), which is intended to compensate taxpayers for the gradual loss of ICMS tax incentives during the transition period.<\/p>\n\n\n\n

However, not all tax incentives qualify for compensation. To be eligible for payments from the Compensation Fund, taxpayers must hold onerous tax incentives<\/strong> that were lawfully granted by May 31, 2023, for a fixed term and subject to specific conditions, such as incentives conditioned upon the implementation, expansion, or maintenance of business operations.<\/p>\n\n\n\n

The onerous nature of a tax incentive is determined based on its economic impact<\/strong>, meaning the increase in the taxpayer’s assets directly resulting from the enjoyment of the incentive. This economic impact will serve as the basis for calculating the financial compensation to be paid by the Fund as the incentives are gradually reduced between 2029 and 2032.<\/p>\n\n\n\n

Brazilian Federal Revenue Service (RFB) Ordinance No. 635, published at the end of 2025, sets forth the requirements for registration with the Compensation Fund, particularly the evidence necessary to demonstrate that the tax incentive satisfies the legal eligibility criteria. Applications for registration may be submitted until December 31, 2028.<\/p>\n\n\n\n

Starting in January 2027, taxpayers should also pay close attention to an additional compliance requirement that will be essential to ensure the proper classification and measurement of their tax incentives.<\/p>\n\n\n\n

Recently, Technical Note No. 2026.001 (Version 1.0) to the EFD ICMS\/IPI Guidance Manual introduced a new reporting field (IND_BENEFICIO<\/strong>) within the Brazilian Digital Tax Bookkeeping System (EFD) records related to ICMS assessment adjustments.<\/p>\n\n\n\n

In summary, this new field enables taxpayers to correctly identify the economic impact of their tax incentives, including, for example, the portion of ICMS arising from transactions that is recognized through deemed tax credits.<\/p>\n\n\n\n

For each adjustment, taxpayers must report one of the following numeric indicators:<\/p>\n\n\n\n