New ICMS Regulations for Dairy Producers in Minas Gerais

The government of Minas Gerais has enacted new regulations concerning the Tax on Circulation of Goods and Services (ICMS) for dairy producers. The legislation, which became effective on August 29, originates from Project of Law 2.617/15, proposed by state deputy Antonio Carlos Arantes and approved by the Legislative Assembly of Minas Gerais.

Key changes in the legislation include modifications to the State Policy for Renewable Rural Energy. The law now officially recognizes solar, wind, small-scale hydroelectric, biomass, and biogas as clean energy sources. This change is expected to encourage the use of renewable energy in rural areas.

Additionally, the law mandates the involvement of rural producers, family farmers, associations, and cooperatives in planning activities related to the state’s renewable energy policy. This increased representation aims to ensure that the interests of the rural sector are considered in developing projects for clean energy generation in rural settings.

Dairy producers who sell up to 657,000 liters annually are advised to consult with accountants or the State Department of Finance to determine the most beneficial method for ICMS calculation. It is crucial for producers to stay informed about any supplementary regulations that may be issued by state authorities concerning tax procedures and the execution of the new rules.

Furthermore, representative entities within the sector are encouraged to closely monitor actions related to the state policy for renewable rural energy. This law promotes direct participation of producers in shaping initiatives aimed at enhancing clean energy production in the agricultural sector.