The provisional measure No. 685 of July 21, 2015, created the Prorelit Litigation Reduction Program (Prorelit) through which taxpayers may disagreements of tax nature in administrative or judicial discussion, with the use of claims of fiscal loss and the basis of negative calculation of social contribution on net income, provided that they have completed some requirements.

First, debit payment should be at least 43% in cash and in just once. Already for the remaining balance (57%), credit resulting from tax loss and negative calculation base of own CSLL or controlled and controlling enterprises, determined until 31 December 2013 and declared until June 30, 2015, elucidated Article 1, §1 of that MP.

The value of the credit to be used will be determined by applying the following aliquots: 25% on the amount of tax loss; 15% on the negative calculation basis for CSLL, in the case of private insurance legal persons, capitalization and financial institution and related; and, 9% on the negative calculation basis for CSLL, in the case of other legal entities.

The rule highlights that for adherence to proorelit the taxpayer should express express and irrevocably of the proposed lawsuits and administrative actions which have the objectives to be included in the program. In this way, the abolition of implements or administrative resources should be carried out by means of accession. In the lawsuits, the taxpayer should prove that it was adopted until September 30, 2015 the request for the extinction of the processes.

The benefit should be requested by the IRS by means of the discharge request for debts under discussion (RQD) until September 30, 2015 and the value in kind should be paid until the last business day of the presentation month application. However, if the payment is observed, the lower of the debt or is not confirmed the existence of CSLL's fiscal and negative calculation credits in the amount indicated for discharge, the taxpayer will be informed and will have 30 days to make the correction. If you do not pay for this deadline, you will continue to collect the remaining balance, including referral for Union's active debt registration.