Government Creates Repetro-Industrialization

The President of Brazil published on 10/25/2018 Decree No. 9.537, which establishes the special regime for the industrialization of goods for the exploration, development and production of oil, natural gas and other fluid hydrocarbons – Repetro-Industrialization.

Repetro-Industrialization allows the company to import or acquire in the domestic market, with suspension of the payment of federal taxes, raw materials, intermediate products and packaging materials to be fully used in the production process of final product for the exploration, development and production of oil, natural gas and other fluid hydrocarbons.

The benefit includes the following taxes: Import Duty; Tax on Industrialized Products – IPI; contribution to the Social Integration Programs and contribution to the Creation of Civil Servant Fund in the import of foreign products or services – PIS/Pasep-Import; contribution to the Social Security Financing due by the importer of foreign goods or services