INVEST INDUSTRY

relevant details for companies in Espírito Santo
Invest industry is a strategic initiative of the government of Espírito Santo, created to foster economic development and attract investments to the state. This program has played a crucial role in strengthening the local economy, offering industrial companies a powerful tool to increase their competitiveness. However, it is essential that companies understand the necessary conditions to fully enjoy the benefits offered. Fits in one of the following categories:
• Implementation
• Expansion
• Modernization
• Expansion
• Diversification
In addition to these, the legislation also allows the use Invest Industry in cases of resumption of activities. However, in order for a revitalization project to be eligible, it is necessary that the stoppage of operations occurred for a minimum of 12 months before the submission of the incentive application.
Economic challenges and necessary adjustments
Government State is aware of the challenges that companies may face, such as the reduction of gross operating revenue due to fluctuations in the national or global economy. In such cases, it is crucial for Invest Indústria's companies to present their cases to the Invest-ES Evaluation Committee. This committee has the authority to review the benefits granted, provided that the company maintains the level of production stipulated in the original project. of changes in their projects to the Evaluation Committee. Any modification in the project must be submitted for approval of the committee to avoid canceling the benefits. In addition, the agreement between the state and the company includes commitments that must be strictly fulfilled. If the company cannot meet these commitments, it is mandatory to inform and request the granting of the government. the beetle. If, for any reason, the company cannot start the project within this deadline, it is possible to request an extension for the same period, provided that the justification presented is solid and well grounded. > The government of Espírito Santo prioritizes fair competitiveness among companies established in the state. Therefore, the percentages of benefits granted by Invest Indústria are calculated taking into account the existence of similar enterprises, not just the volume of investment or the size of the company. This criterion ensures that incentives are equitably distributed, favoring healthy competition.
An example of an important incentive is the deferral of DIFAL, as provided for in article 3 of Law 10.550 /2016, for the acquisition of machines and equipment intended for integration in permanent assets. It is essential for companies to understand that this benefit applies only to the acquisition of machinery and equipment from other Federation Units, and not to permanent assets as a whole. To the committee, it is crucial for the company to claim a differentiated tax treatment suitable for its real operations. For example, ICMS deferral on imports of raw materials and inputs will only be granted if the company actually acquires these materials from other countries.
Finally, at the end of the project, the company should clearly indicate the benefits necessary for development and growth of its activities. The evaluation committee will only approve the benefits that are specifically claimed. Therefore, it is vital that the project be prepared accurately, preferably by qualified professionals. Correcting a flawed process is much more complicated and costly than building a solid project from the beginning, with full technical knowledge.