After articulation of the Parliamentary Front of Agriculture (FPA) with the federal government, the deadline for joining the Rural Tax Regularization Program (PRR) was extended until October 30, which refinances the debt of rural producers with the Rural Worker Assistance Fund (Funrural). Provisional Measure 834/2018, edited by the President of the Republic Michel Temer, was published on Wednesday (30) in the Federal Official Gazette (DOU).
For the president of the FPA, Ms. Tereza Cristina (DEM-MS), the extension is another victory of the productive sector to ensure that the producer in debt regularize its situation with more legal certainty. “In the PRR, rural producers have special conditions of payment, in addition to reducing interest, fines and other debt charges,” says the president.
Among the main items guaranteed by Law 13606/2018, which instituted the PRR, are the 100% reduction of fines and legal charges; when the producer pays the tax at various stages in the chain; and the reduction of the tax rate from 2.5% to 1.7% for rural legal entities. “It was a 40% reduction in the rate of contribution assured to rural producers,” said Ms. Tereza Cristina.
Historic
The Rural Tax Regularization Program (PRR), the so-called Refis Rural, was created in the midst of a legal impasse regarding the legality of the collection of Funrural. The contribution was considered unconstitutional in 2011 by the Federal Supreme Court (STF), but the same court went back in March 2017 and declared the constitutional charge. Since then, many rural producers have stopped paying the social security contribution backed by the Supreme Court’s decision.
On May 23 of this year, by 7 votes to 3, the Federal Supreme Court (STF) reaffirmed, in a new trial, the constitutionality of the contribution to Funrural. In this way, the Fund’s liabilities continue to exist, as well as the collection of social security charges. The Supreme Court decision was one of the items that still brought legal insecurity to farmers.
This text was translated by machine from Brazilian Portuguese.