Take advantage of the opportunity to settle your tax debts
A Brazilian Federal Revenue Service announced the extension of the deadline for joining the Zero Litigation Program 2024, extending the end date to October 31, 2024. This is an unmissable chance for medium and large business owners to settle their tax debts in an easy way.
What is the Zero Litigation program?
The Zero Litigation Program is a special measure for settling tax debts, aimed at both individuals and companies. Through this program, it is possible to make agreements to resolve administrative disputes with the IRS, with debts of up to R$ 50 million.
Understand the Zero Litigation Law
Regulated by Law 14.740The Zero Litigation Program allows taxpayers to regularize their tax situation directly with the IRS. The law establishes that taxpayers themselves must seek regularization through the IRS's official channels.
Which debts can be settled?
The program is aimed at debts in administrative tax litigation, i.e. debts in administrative dispute. This includes taxes administered by the Federal Revenue Service, such as social contributions from companies and domestic employers. Negotiation offers easier conditions, with the possibility of installments and significant discounts.
New deadline and benefits
A RFB Ordinance 444In a press release published in the Federal Official Gazette, the deadline for joining the Zero Litigation Program 2024 was officially extended. The initial deadline, which was due to expire on July 31, 2024, has been extended to October 31, 2024. The program offers the opportunity to negotiate debts considered irrecoverable or difficult to recover with discounts of up to 100% on interest, fines and legal charges, limited to 65% of the total value of each credit.
Conditions for membership
To join the Zero Litigation Program, taxpayers must:
- Waive any administrative or judicial challenges or appeals related to the debts included in the transaction.
- Irrevocably and irreversibly confess to being the debtor of the debts included.
- Apply digitally through the e-Cac Portal, in the "Legislation and Process" tab, using the "Web Applications" service.
The application period runs from 8 a.m. on April 1, 2024 until 6:59 p.m. on October 31, 2024, Brasília time.
Taxpayers who join the program must:
- Do not misuse the transaction.
- Do not dispose of or encumber assets without notifying the Internal Revenue Service.
- Pay the installments of the debts regularly.
- Adhere to and maintain the Electronic Tax Domicile (DTE) for the duration of the transaction.
Read also: Tax reform: what will change?
Payment terms
Debts classified as irrecoverable or difficult to recover can be negotiated with a reduction of up to 100% in interest, fines and legal charges. However, the discount is limited to 65% of the total value of each credit. A down payment of 10% of the consolidated value of the debt is required, which can be divided into up to five monthly installments, with the remaining balance to be paid in up to 115 monthly installments.
Who can join?
Companies and individuals with outstanding debts to the IRS can join the program, as long as the value of the debt is equal to or less than R$ 50 million. The change from 2023 to 2024 increased the debt value limit for inclusion in Zero Litigation, providing greater flexibility for regularization.
Read also: When to migrate from Simples Nacional to Lucro Presumido?
Conclusion
The extension of the deadline for joining the Zero Litigation Program 2024 is an excellent opportunity for medium and large business owners to settle their tax debts under advantageous conditions. Don't miss the chance to take advantage of this special measure and guarantee your company's financial health.
For more information and to join, go to e-Cac Portal and settle your debts quickly and safely. And remember CLM Controller is here to help your company at every step of the tax regularization process, ensuring that you take full advantage of all the benefits offered by the Zero Litigation 2024 Program.
