Ricardo Tosto: No ICMS Tax on the Long-term Insurance Contract

Ricardo Tosto explains how ICMS is not levied on the insurance contract with an extended duration:

The Treasury sometimes interprets the law literally and in its favor, often causing an increase in tax collection. However, it usually ignores the constitutional principles of taxation, the legal system as a whole, and the context that should be taken into account while the process of interpretation takes place. It is an excellent example of this apparent trend that the State Treasury always charges ICMS on the premiums paid on insurance with an extended term, assuming that such values are included by the sellers in the final price of the merchandise and, therefore, should be included in the tax base. To give legal support to this argument, Ricardo Tosto argues that Article 13, § 1, II, “a,” of Complementary Law 87/96 states that insurance paid should be included in the ICMS calculation basis since LC does not except or limits this rule.

However, Ricardo Tosto affirms that the taxpayers do not agree with this point of view. The claim is that, under a broader and more systematic interpretation, CL only provides that insurance premiums, arising from obligations assumed under the Consumer Protection Code (Articles 24 and 26), should be taxed by ICMS. By selling their products, CDC obliges sellers to ensure the perfect conditions of use of these products to consumers within 90 days (warranty period). In the event of a defect, sellers must replace or refund the value to consumers; if not, they run the risk of being prosecuted and sentenced to the payment of indemnity. To meet the CDC, sellers hire insurers to cover expenses related to the repayment of securities or replacement of defective products. Ricardo Tosto stresses that it is important to note that premiums paid from insurance are transferred to the final price of products and charged by consumers as a condition of a business. Thus, it makes sense to subject them to ICMS taxation.

In the meantime, once the legal guarantee period established by the CDC (or even earlier) has expired, there is nothing to prevent consumers from entering into a new, longer-term insurance contract to protect them from potential risks about the products purchased. In this case, the values of the premiums will be borne directly by the consumers, which contrasts with the previous scenario (when they were transferred to the final price of the products). It is also necessary to point out that such a contract is independent of the purchase and sale of the products and is therefore subject to another legal regime (Resolutions 122/2005 and 296/2013 of the National Council of Private Insurance).

Consequently, premiums paid in respect of such contract cannot be taxed by ICMS, since they are not related to the price paid for the products purchased. Also, these premiums will be received by the insurer as its revenue. In this case, sellers cannot be required to pay the ICMS. Otherwise, they would be paying tax on the revenues of third parties, a situation that can be considered as a violation of the tax principle of the ability to contribute.

On this matter, the Superior Court of Justice, in a special appeal, was asked to rule. Ministers recently decided in favor of taxpayers (Special Appeal No. 1,346,749-MG). The conclusion was that the amounts paid for insurance for an extended duration, which the consumers hired separately (when acquiring goods), cannot be taxed by ICMS. This judicial precedent does not refer to any paradigmatic case. It is only an isolated decision and has no binding effect. However, it can be considered as a major victory for taxpayers, which may influence future decisions by judges.

Read More : http://economia.estadao.com.br/noticias/releases-ae,latin-lawyer-250-recomenda-escritorio-de-ricardo-tosto-como-um-dos-melhores-do-pais,10000094509

Why Ricardo Steals the Show in the Brazilian Legal Environment

In Brazil, practicing law proves daunting bearing in mind that the country puts drastic measures to regulating the practice of law. The practice even shows much harder it becomes for various law firms to practice law after the stringent standards by Federal OAB to deregister many foreign law firms. The decision has since made the country to suffer a backlog of various court cases with the slightly a million lawyers in place to serve the growing population of Brazilians. Even as the state witnesses this unevenness in the community of lawyers, compared to the demographic distribution of the population, Brazil still boasts of few reputable lawyers. One of the lawyers who has created a niche for himself amidst the harsh legal environment is Counsel Ricardo Tosto, a specialist in Business and Administrative Law.

Outstanding Legal Performance

As a stalwart in banking contracts and credit recovery, Ricardo Tosto has gained immense attention internationally due to his steadfastness in practice of commercial litigation. His long streak as a lawyer has earned in various nominations and awards such as the Legal 500 where he scooped the best award as the Brazilian lawyer of the year 2015. The Analise 500 also gave him a distinguished honor for excellent performance as a legal advisor for Human Resource and Legal Management for various firms he worked with.

Education and Work

Ricardo Tosto is a law graduate from Mackenzie University with a Post Graduate Degree in Business Administration. He is one of the founding partners at Leite, Tosto e Barros Advogados, which is one of the largest law firms in Brazil. While at this law firm, he developed an acute understanding of financially related disciplines such as business restructuring and acquisition review. He also worked at Fundacao Rede de Previdencia Privada where he turned out as its Managing Director. At Grupo Rede, Ricardo Tosto served as a legal adviser in the HR Department turning back to private practice.

Legal Affiliations

Ricardo Tosto is among the Board of Directors at Center for Study for Attorney Partnerships (CESAP) where he has remained instrumental in streamlining legal practice in the country. At International Bar Association (IBA), he serves as a member and also a Chairman of the Steering Committee on Legal Education.

To know more visit @: br.linkedin.com/in/ricardo-tosto-9556a817

Sujit Choudhry – Perspective Of Modern Comparative Law

What is Comparative Law?

 

Comparative Law is the act of comparing two or more different legal systems using legal methods. It entails the study of the disparities and similarities inherent in the legal systems of different countries. It involves the critical studying of existing different legal systems across the world, such as the English Common Law, the French Civil Law, the Chinese Law, Jewish Law, Canon Law, Socialist Law, Islamic Law, and the Hindu Law. Comparative Law also involves the description and in-depth analysis of foreign legal systems, which in turn, produces results that correlate to the cultural differences in the various legal systems being analyzed.

 

Proponents of Comparative Law in Modern Times

 

The modern day study of Comparative Law can first be attributed to the formal British jurist, Sir Henry Maine, who, in his work; Ancient Laws, laid the frame work for the building and development of legal systems in primitive societies and engaging critically in comparative discussions to that effect.

 

However, the popularity of Comparative Law today is mainly down to the tireless efforts of eminent legal jurists like Sujit Choudhry, which gave an informed understanding of foreign legal systems, especially in an era of globalization and complexity that basically underlines international public and private laws. Today, Comparative Law creates an avenue for the harmonization and unification of laws, resulting in better cooperation among international states, even as some national legislative houses are seen domesticating foreign laws; thereby creating a sense of common world order.  For more, browse on blogs.law.nyu.edu.

 

Sujit Choudhry and Comparative Jurisprudence

 

Sujit Choudhry is regarded as the greatest proponent of contemporary Comparative Law! Professor Choudhry is an internationally recognized and highly respected authority on Comparative Constitutional Law and Building. A legal jurist of academic excellence, Sujit Choudhry holds law degrees from Oxford, Toronto and Harvard. As a constitutional lawyer, Professor Choudhry’s legal research emboldens a wide range of issues that centers in Comparative Constitutional Law, which advocate constitutional design as a decisive tool to undertake the transition from violent conflicts to peaceful and cordial democratic politics. Dean Choudhry is the founder and Faculty Director of the Center for Constitutional Transitions–the first University-based center in the world that actually generated and mobilized legal knowledge for constitutional development.

Related posts on sujitchoudhry.com

Professor Sujit Choudhry’s invaluable experience in serving as adviser to the process of constitutional building includes places such as Egypt, Sri-Lanka, Nepal, South Africa, Jordan, Ukraine, and lot a more. Choudhry has written and published over seventy book chapters, articles, reports and papers. Some notable edited collections includes; The Migration of Constitutional Ideas,’ Constitutional Design for Divided Societies,’ Dilemmas of Solidarity, etc, all of which are top sellers on Amazon. Presently, Choudhry a member of the UN Mediation Roster, an Executive member of the International Society of Public Law, and dozens of other legal societies, groups, and coveted positions being held by Professor Sujit Choudhry.

Check and Read more about Choudhry here.

 

Law in Brazil

There are a lot of people who are moving to Brazil or starting a business there. With all of the growth and change in the country, now is the time to start thinking about the future. If you are going to start a business there, you need someone who can explain business law to you. Not only that, but you need someone who truly cares about your experience during that time. Ricardo Tosto has a great track record of success in this area. Not only does he truly care about clients, but he also wants to help them in a variety of other ways as well. Over time, he has proven to want to help others on his journey to building a great law firm.

Ricardo Tosto

When Ricardo Tosto was young, he had the dream to start a law firm. Although the journey has not been easy, Ricardo Tosto has worked hard to get where he is today. Not only that, but he truly wants to invest in the lives of other people in the community. No matter how successful he is getting, he always wants to focus on others. In the past few years, Ricardo Tosto has expressed an interest in investing in the local community. In the coming years, he even wants to build a new location so that he can service new customers. Although the internet is available to almost everyone in Brazil, few people are doing their legal work in this manner.

Final Thoughts

Ricardo Tosto has had a great career, and it still has a lot of promise and growth. If you want to learn how to invest for the future, a lot of people can help you during that process. With all of the changes that have taken place in this area over the years, Ricardo Tosto has proven that he truly cares about the lives of other people. He provides a valuable service to the local community, and he is there to help others in times of need. He is a great example of the power of a great lawyer in the nation of Brazil.

COMPARATIVE LAW FROM SUJIT CHOUDHRY’S POINT OF VIEW

Sujit Choudhry is the director of constitutional transition center which is the first institution that generates knowledge in regard to constitutional building. He has earned international recognition on comparative laws as well as comparative constitutional development. During his day to day activities, he deals with questions on comparative law methodologies. In his works he has written on constitutional design; which he refers as a transition means from violent conflicts to a peaceful political system. At the moment, he is studying how constitutional design can be incorporated in the shift from authoritarian governments to the democratic system of government. He has published numerous materials which comprises of articles, books and journals about comparative law. The materials have made it easy for people to understand his thoughts on the subject, you may buy his book at Amazon.com. The migration of constitutional ideas and constitutional designs for divided societies (Integration or Accommodation) are some of his edited collections.

Choudhry holds law degrees from three institutions which are; Harvard, Toronto and Oxford. Due to his expertise in Comparative law he has served in different designations one of them being the clerk to the Chief Justice of Canada supreme court; Antonio Lamer. He is also a member of the United Nations Mediation Roaster and a consultant to the World Bank. Choudhry has also acted as a law expert during constitutional transitions in a number of countries for example Libya, Egypt, Tunisia and Jordan. In this cases, he has ensured peaceful constitutional transition. He has further taken part in honorable duties to ensure that constitutional reforms are peaceful and efficient such as in Toronto where he was in the advisory panel that steered the structure of municipal government. In addition to that he was part of the board of directors of Legal Aid Ontario; which is one of the greatest legal assistance world programs.

Sujit Choudhry has served as a professor at NYC school of law where he spear headed the faculty of law. Due to his expertise in law, he was among other Canadians that received Trudeau fellowship. Over the past years, he has continually increased his knowledge in comparative law. He is also working on other collections which are in line with comparative law as well. He has built strategic agendas that revolve around the pillars of Access, Globalization, Innovation and Success. Access for all fundraising campaigns for those that needed financial aid; is one of the initiatives to implement the strategic agenda. The initiative success was manifested through the increase in the Latinos and African American students in law class.

Sujit Choudhry’s Twitter Account, Click Here