The Federal Revenue Service has published a guideline in favor of virtual shopping malls, known as marketplaces. It establishes that companies that act as intermediaries in the sale of goods on the internet must pay taxes only on the commission they charge retailers, and not on the full value of the products sold.<\/p>\n\n\n\n
The understanding is contained in Consultation Solution No. 170, published by the General Coordination of Taxation (Cosit) on Monday. Tax auditors in the country are now required to follow the interpretation, which applies to the collection of Corporate Income Tax (IRPJ) and CSLL, in addition to PIS and Cofins.<\/p>\n\n\n\n
According to lawyers, this is the first statement by the IRS on the subject and has a positive impact on the virtual shopping mall business. \u201cThe tax calculation basis has been reduced considerably,\u201d says Frederico de Almeida Fonseca, from the Rolim, Viotti, Goulart, Cardoso law firm.<\/p>\n\n\n\n
In practice, the definition of the IRS provides security for something that has already been done in the sector since at least 2017, according to consultants and networks interviewed by Valor. In that year, the Central Bank indicated that the sales volume transacted by the system (GMV) is not gross revenue of the marketplace, but of the store owner who uses the platform.<\/p>\n\n\n\n
\u201cThe marketplace no longer has any accounting records because the sales are not its own, but all the seller's\u201d, says Roberto Wajnsztok, founder of Origin Consultoria and former executive at Walmart and Comprafacil.<\/p>\n\n\n\n
Currently subject to strong competition in the sector, the commission, called \u201ctake rate\u201d, varies from 5% to 15% on the value sold, depending on the product category and the commercial strategy of each platform.<\/p>\n\n\n\n
The IRS, however, issued a warning in the consultation solution. It states that the calculation basis for the four taxes will be the commission only if the following are clearly defined: the relationship between the virtual shopping mall and the supplier of the products; and the relationship between the seller and the end consumer.<\/p>\n\n\n\n
\u201cThese legal relationships must be attested by the contracts signed between the consultant [marketplace] and the contracting party [retailer] and by the tax documents issued by both. In relation to the contracting party, the tax document must be issued to the end consumer of the product while the consultant must issue, to the contracting party, a tax document corresponding to the services specifically provided with their respective price (commission charged)\u201d, says the IRS.<\/p>\n\n\n\n
According to a former director of a food retail marketplace, the relationships between virtual malls and retailers are well defined on large platforms. The largest marketplaces today are Mercado Livre, Magazine Luiza, Amazon, Americanas and Via (Casas Bahia and Ponto).<\/p>\n\n\n\n
According to lawyer Luiza Lacerda, partner at BMA law firm, the marketplace can collect the amount from the sale and pass on the share to each supplier. However, she adds, the retailer must issue the invoice for the sale to the end consumer. \u201cThis is also a beneficial guideline for similar commercial arrangements in which a company already known in the market makes room to offer products and services provided by third parties.\u201d<\/p>\n\n\n\n
Tax specialist Fabio Calcini, from the law firm Brasil Salom\u00e3o & Matthes, emphasizes that the collection of taxes on commissions is valid for marketplaces, which act as intermediaries between suppliers and consumers. \u201cFor a normal e-commerce business that advertises and sells its own products, this guidance from the tax authorities does not apply,\u201d he states.<\/p>\n\n\n\n
The IRS's response came from a question from a taxpayer in the sector. He asked whether the amounts collected and subsequently passed on to partners from sales on the website are included in the company's gross revenue, or only the commission retained by intermediaries in sales. He clarified that the store owner - the supplier of the merchandise - is the one who issues the invoices for the products.<\/p>\n\n\n\n
According to the IRS, the commission is the price of the service provided by the virtual shopping mall, which fully comprises the company's gross revenue. The value of the sale of the merchandise would be recorded in the intermediary's accounting records, but would not be included in the marketplace's assets.<\/p>\n\n\n\n
Tax rates depend on the size and collection regime to which the virtual shopping mall is subject. For IRPJ, it is 25% on real or presumed profits, for CSLL, it is 9%. The PIS and Cofins tax rates can be 3.65% if it is in the cumulative regime or 9.25%, in the non-cumulative regime.<\/p>\n\n\n\n
Commission rates, which are the basis for calculating taxes, have been reduced by retailers to increase the volume of store owners on the platforms. There are temporary reductions, with cuts of up to half, from 10% to 5%, on the value of the product sale.<\/p>\n\n\n\n
\u201cThis dispute is because sales slowed down in the third quarter and the marketplace needs to continue attracting sellers. It reduces the commission because it needs to help the seller to give greater discounts on sales,\u201d says Wajnsztok, from Origin Consultoria.<\/p>\n\n\n\n