How is ICMS calculated?

ICMS is calculated based on the value added in each stage of the sale from manufacturer to consumer.

Sma
Orig

ICMS is calculated based on the value added in each stage of the sale from manufacturer to consumer.

ICMS is only calculated based on the added value to the taxed item, not on its total price.

Cynthia
Fujikawa Nes

LinkedIn

The formula for calculating ICMS is highly complex.

The basis for calculating it must include the tax itself. The calculating basis is:

• Total of the customs value
• ICMS (around 18%, it depends on the goods)
• PIS/PASEP (1.65%)
• COFINS (7.6%)

Fortunately, at the website of the Federal Revenue of Brazil you can calculate the ICMS tax: http://www4.receita.fazenda.gov.br/simulador/ (in Portuguese)

Pedro
Andrade