| Tax | Why/When/for Who Calculated? | comments |
| PIS | Federeal Tax | Contribution on the Social Integration Program |
| COFINS | Federeal Tax | Social Security Financing Contribution |
| IPI | Federeal Tax | Tax on Manufactured Products, and Imported Products |
| ISS | Municipal Tax | local tax on Services of any nature, upon the commissions received.
Imposto Sobre Serviço de Qualquer Natureza (ISSQN) |
| ICMS | State Tax | Tax on Distribution of Goods and Services: Sales and Movement |
| ICMS-PPB | State Tax only for intrastate operation or interstate operation for non taxpayer | Processo Produtivo Básico |
| ICMS-ST | ICMS-ST is only applicable for
- NEWS PRODUCTS, and with the fiscal classification described in the internal Decree or protocols (state from/state to).
-operations ICMS taxable, and customer taxpayer, except end user in the SP state (internal operation). | WHT ICMS or ICMS taxing substitution |
| Imposto de Importação | Federal Tax - Every purchasing transaction(PO) when a product or services is imported | The importation tax is applied when we import services and products, the rate and definitions is very different depending on the description of the procurement transaction. |
| PIS RF | Federal WHT Tax - At each sales transaction these taxes (also referred as PCC WHT) needs to be calculated based on customer | Withholding on Federal tax Social contributions
- On products only when the customer is federal government
- On Service, depends of customer type and service type
|
| COFINS RF | Federal WHT Tax - At each sales transaction these taxes (also referred as PCC WHT) needs to be calculated based on customer | Withholding on Federal tax Social contributions
- On products only when the customer is federal government
- On Service, depends of customer type and service type
|
| CSLL RF | Federal WHT Tax - At each sales transaction these taxes (also referred as PCC WHT) needs to be calculated based on customer | Contribuição sobre Lucro Líquido (CSLL),On September 30 2004 the Brazilian authorities issued Provisional Measure 219 (PM 219), which granted tax benefits on purchases of fixed assets. Effective as from October 1 2004, Brazilian legal entities are allowed to claim a credit for social contribution on net income (CSLL) purposes (to be offset against the CSLL liability), corresponding to 25% calculated over the book depreciation of assets acquired between October 1 2004 and December 31 2005. |
| IR RF | Federal Income tax (WHT) | On products only when the customer is federal government |
| ISS RF | Municipal Tax (WHT) | Withholding on ISS Tax |
| INSS | Federal Tax - Social Security | Cases when Lexmark Employees are deployed at Customer Site
-- Lexmark should calculate this tax amount(INSS) on the invoice to the customer
-- The Customer will use this amount and pay the Social security tax to the Brazil government instead of Lexmark
-- Customer will be paying Lexmark the rest of the invoice excluding INSS |
| CIDE | Federal Tax - Every sales transaction which has a Lexmark's Intellectual property (IP) and/or Royalty involved | Contribution on Economic Activity – Overseas RemittancesPayments of royalties and fees on technical transfers and technical services by foreign persons. Rate = 10%The CIDE is assessed on remittances overseas relating to payments of copyrights, trademark and patent royalties, technical services and assistance, administrative support and related activities. As a rule, the Brazilian company figures as taxpayer of the CIDE tax, which is levied at up to 10% on the amounts remitted overseas. This contribution usually escapes the provisions set forth in the international double taxation treaties to which Brazil is a signatory. |
