SP government reduces ICMS system on aviation fuel

The Government of the State of São Paulo announced Tuesday (19659001) (Thiago Vinholes)" width = "960" height = "640" srcset = "https: // airway .uol.com.br / wp-content / uploads / 2019/02 / COngonhas_01-960×640.jpg 960w, https://airway.uol.com.br/wp-content/uploads/2019/02/COngonhas_01-390×260. jpg 390w, https://airway.uol.com.br/wp-content/uploads/2019/02/COngonhas_01-750×500.jpg 750w, https://airway.uol.com.br/wp-content/uploads/ 2019/02 / COngonhas_01-768×512.jpg 768w, https://airway.uol.com.br/wp-content/uploads/2019/02/COngonhas_01-600×400.jpg 600w, https://airway.uol.com. br / wp-content / uploads / 2019/02 / COngonhas_01.jpg 1200w "sizes =" (max-width: 960px) 100vw, 960px "/>

5) the reduction of the tax on the movement of goods and services (ICMS) for aviation fuel, which went from 25% to 12% on domestic flights.

To offset the estimated revenue loss of about 205 million pesos, the state government is asking airlines to launch 490 new weekly flights to 21 Brazilian states by the end of April.

According to the study presented by the Secretary of Tourism of the State of São Paulo, Vinicius Lummertz, though 2.5% of pbadengers transiting through the Three Major Airports of São Paulo (Cumbica, Congonhas and Viracopos) extend their connection with the stopover. A total of R $ 6.9 billion will be injected into the region's economy and nearly 59,000 jobs will be created. The measure follows the model already tested in other destinations, such as Lisbon (Portugal) with the airline TAP and Istanbul (Turkey) with Turkish Airlines.

"With the reduction of the ICMS system on kerosene, we wish to increase the flow of tourists to all regions of the State of São Paulo, using the network of regional airports that will be part of the program "São Paulo para Todos" with the launch of the stopover successfully implemented in other countries.We will also encourage companies to study more affordable rates for their consumers.These measures will have a positive impact on creating jobs and income, "said São Paulo Governor João Dória.

Eduardo Sanovickz, President of the Brazilian Association of Airlines (ABEAR), corrects a historical distortion. "This is a courageous and historic attitude that corrects a three-decade distortion in the Brazilian fiscal model that has led to the growth of aviation in 18 states and to São Paulo where this growth was weak to moderate." The next step is to approve the full opening of airlines to foreign capital to the National Congress to allow an increase in competitiveness with more than The number of active companies in the country limits the ICMS system to 12% for all states. The bill is currently being considered by the Senate, "said Tourism Minister Marcelo Álvaro Antônio.