With the publication of Sefaz Resolution No. 202/21 and PGE Resolution No. 4671/21 in the Official Gazette of the State of Rio de Janeiro, enrollment into PEP-ICMS - the special program for payment in installments of tax debts of the State of Rio de Janeiro - has been definitively regulated. Interested taxpayers are already able to join the program. The deadline for including debts is April 29, 2021. This is an excellent opportunity for taxpayers interested in bringing their situation into good standing with the Rio de Janeiro State Tax Authority.

PEP-ICMS covers tax debts, whether formalized or not, related to the ICMS (Tax on Circulation of Goods and Services, except ICMS by tax substitution), the FECP (State Fund to Combat Poverty and Social Inequalities), the FEEF (State Fund for Fiscal Equilibrium), and the FOT (Temporary Budgetary Fund). The amounts may or may not be recorded as collectible debt and derive from taxable events occurring up to August 31, 2020. There is a reduction in legal penalties and default surcharges, depending on the payment method chosen by the taxpayer. For lump sum payments, the reduction is 90% of the surcharges. PEP-ICMS also allows installment payment of debts and establishes reductions of attorneys' fees for debts recorded as collectible debt.

The new resolutions establish that the request to join the PEP-ICMS for debts not recorded as collectible debt will be carried out through the Fisco Fácil Portal (“Easy Tax Portal”), on the website of Sefaz-RJ or in person, at the tax office of the taxpayer's jurisdiction that does not have access to the Fisco Fácil Portal.

As for the debts registered at outstanding debt, the application must be made directly on the website of the Attorney General of the State (PGE). Only in exceptional circumstances may the request for adherence be requested from the Attorney's Office of the Outstanding Debt of the Capital or the regional offices competent for each debt. Such cases will be reported on the PGE-RJ website.

As one of the conditions for the enrollment into PEP-ICMS, the taxpayer must become aware of all pending decisions and waive suits, challenges, and appeals filed related to the debts that will be included in PEP-ICMS, therein waiving them.

If the debt to be included in PEP-ICMS is not listed in the Access Portal, the taxpayer should contact Sefaz-RJ via e-mail This email address is being protected from spambots. You need JavaScript enabled to view it..

The taxpayer must obtain the DARJs for the payment of the installments in the Fisco Fácil Portal and/or at the PGE website. Failure to pay the first installment will cause the enrollment to be rejected and the debt to be forwarded for collection in court.

Among the causes for exclusion from PEP-ICMS, the following stand out:

• failure to pay more than two installments simultaneously, whether or not consecutive;

• the existence of an installment or installment balance unpaid for a period longer than 90 days;

• default of the tax due, for more than 60 days, by any establishment of the legal entity beneficiary of PEP-ICMS, regarding taxable events occurring after adherence to the program.

The last condition highlighted above is of utmost importance for taxpayers, since it means that, while there are installments falling due under PEP-ICMS, taxpayers must continue to discharge payments of taxes due for triggering events after the enrollment into the program, under penalty of exclusion from PEP-ICMS.