PIS/COFINS CREDITS ON INPUTS OF COMMERCIAL ACTIVITY

Abstract

Although the STJ has decided, in a binding precedent, that the concept of input for PIS/COFINS credit purposes encompasses expenses important to the companies’ activities, the ordinary laws governing the non-cumulative regime of the contributions, in the item that deals with input credits, refer only to industrial and service companies, which authorizes the interpretation that commercial companies would not be entitled to credits on such expenses. However, as recently decided by the STF, also in a binding precedent, the PIS/COFINS non-cumulative assessment is also subject to constitutional principles, among which the principle of tax equality stands out. This study, based on theoretical premises that emphasize the role of some methodical guidelines that cannot be disregarded in the realization of law – such as the postulates of proportionality and equality and the relative predominance of equality –, demonstrates that the restriction imposed on commercial companies with respect to credits on inputs of their economic activity is unconstitutional. Commercial companies are entitled to PIS/COFINS credits on expenses incurred in the acquisition of goods and services used as inputs in their economic activities.