On June 2, 2023, the Supreme Federal Court (STF) made a decision regarding the payment of Service Tax (ISS) by health insurance and financial companies. The court had to determine whether the tax should be paid to the municipality where the company is located or to the municipality where the client is located. The case was brought to the court by Consif and CNSEG, two industry organizations, who challenged certain sections of Complementary Law No. 157/2016 that changed the taxation rules.Justice Alexandre de Moraes, the Reporting Justice, based his decision on the principle of legal certainty and found the lawsuits to be valid. He voted for the unconstitutionality of the challenged articles of Complementary Law No. 157/2016, as well as Complementary Law No. 175/2020. Justice Nunes Marques had some reservations but was supported by Justice Gilmar Mendes. Ultimately, the majority of the court sided with the Reporting Justice’s vote.
Source: klalaw.com.br
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