NOTE 26 — TAXES PAYABLE AND INCOME TAX AND SOCIAL CONTRIBUTIONS — LIABILITY
26.1- Taxes payable
|
|
|
12/31/2017 |
|
12/31/2016 |
|
|
Current liabilities: |
|
|
|
|
|
|
Taxes Withheld at Source (IRRF) |
|
252,600 |
|
288,537 |
|
|
PASEP and COFINS |
|
512,227 |
|
314,435 |
|
|
ICMS |
|
127,901 |
|
214,385 |
|
|
PAES / REFIS |
|
35,960 |
|
175,462 |
|
|
Parceling IR/CS |
|
— |
|
37,679 |
|
|
INSS/FGTS |
|
93,910 |
|
134,907 |
|
|
ISS |
|
28,491 |
|
41,585 |
|
|
Other |
|
122,228 |
|
129,099 |
|
|
|
|
|
|
|
|
|
Total |
|
1,173,317 |
|
1,336,089 |
|
|
|
|
|
|
|
|
|
|
|
12/31/2017 |
|
12/31/2016 |
|
|
Non-current liabilities: |
|
|
|
|
|
|
PASEP and COFINS |
|
33,087 |
|
204,284 |
|
|
PASEP and COFINS deferred |
|
65,588 |
|
40,319 |
|
|
PAES / REFIS |
|
210,850 |
|
589,200 |
|
|
Parceling IR/CS |
|
— |
|
135,016 |
|
|
INSS/FGTS |
|
— |
|
32,847 |
|
|
Other |
|
17,002 |
|
58,214 |
|
|
|
|
|
|
|
|
|
Total |
|
326,527 |
|
1,059,880 |
|
|
|
|
|
|
|
|
26.2- Income tax and social contributions
|
|
|
12/31/2017 |
|
12/31/2016 |
|
|
Current liabilities: |
|
|
|
|
|
|
Current Income Tax |
|
1,075,787 |
|
447,236 |
|
|
Current Social Contribution |
|
422,432 |
|
159,612 |
|
|
|
|
|
|
|
|
|
|
|
1,498,219 |
|
606,848 |
|
|
|
|
|
|
|
|
|
Non-current liabilities: |
|
|
|
|
|
|
Deferred income tax/social contributions |
|
8,901,931 |
|
8,305,606 |
|
|
|
|
|
|
|
|
26.3- Reconciliation of expense with income tax and social contributions
|
|
|
12/31/2017 |
|
12/31/2016 |
|
||||
|
|
|
IRPJ |
|
CSLL |
|
IRPJ |
|
CSLL |
|
|
Earnings (Losses) before IRPJ and CSLL |
|
(200,398 |
) |
(200,398 |
) |
12,024,095 |
|
12,024,095 |
|
|
Calculation Base |
|
|
|
|
|
|
|
|
|
|
Total IRPJ and CSLL calculated at the rates of 25% and 9%, respectively |
|
50,100 |
|
18,036 |
|
(3,006,024 |
) |
(1,082,169 |
) |
|
Effects of additions and exclusions: |
|
|
|
|
|
|
|
|
|
|
Revenue from dividends |
|
10,012 |
|
3,604 |
|
25,838 |
|
9,301 |
|
|
Previously unrecognized tax losses offset in the current year |
|
673,043 |
|
242,295 |
|
778,512 |
|
280,264 |
|
|
PRT effect (see26.8) |
|
359,767 |
|
131,429 |
|
172,498 |
|
62,099 |
|
|
Constitution of Tax Credits |
|
389,892 |
|
26,415 |
|
500,021 |
|
180,007 |
|
|
Deferred taxes acknowledged from prior periods |
|
— |
|
— |
|
— |
|
— |
|
|
Deferred taxes not recognized/written off |
|
(2,937,852 |
) |
(1,179,571 |
) |
(4,044,525 |
) |
(1,465,668 |
) |
|
Tax Incentives |
|
412,143 |
|
— |
|
185,217 |
|
— |
|
|
Grants |
|
(24,725 |
) |
(8,901 |
) |
(35,439 |
) |
(12,758 |
) |
|
Other additions and exclusions |
|
206,032 |
|
102,986 |
|
(798,67 |
) |
(259,323 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total income (expense) of IRPJ and CSLL |
|
(861,588 |
) |
(663,707 |
) |
(6,222,573 |
) |
(2,288,246 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
Effective rate |
|
429.94 |
% |
331.19 |
% |
51.75 |
% |
19.03 |
% |
|
|
|
|
|
|
|
|
|
|
|
26.4- Tax Incentives - SUDENE
Provisional Measure 2,199-14, of August 24, 2001, amended by Law 11,196, of November 21, 2005, allowed companies located in the Northeast Region with ventures in the infrastructure sector considered by act of the Executive branch to be a priority for regional development, to reduce the income tax amount owed for the purpose of investing in projects of installation, expansion, modernization or diversification.
Regarding concession contracts No. 006/2004 of generation, and No. 061/2001 of transmission (both signed by the CHESF), the right to the incentive reducing 75% of income tax covers the years of 2008 to 2017. For transmission contracts numbers 008/2005 and 007/2005, the right to the reduction incentive was granted for the period of 2011 to 2020. For contracts with a tax incentive, the income tax rate of 25% becomes 6.25%.
26.5 - Special payment plan - PAES
The subsidiaries Furnas, Eletrosul, Eletroacre and Distribuição Alagoas chose to refinance tax debts. The financing term is limited to 180 months, and the balance owed is corrected by the long-term interest rate (TJLP) and SELIC rate.
26.6 — Tax Recovery Program (REFIS) — Law 12,865/2013
On December 30, 2013, Furnas chose the REFIS, for processes related to the PASEP, COFINS and PASEP/COFINS taxes.
The financing term is limited to 180 months, and the balance owing, corrected by SELIC, is R$ 180,203 as of December 31, 2017 (R$ 478,525 as of December 31, 2016).
26.7 — Deferred PASEP and COFINS on Active Exchange Variance
On April 1, 2015, Decree No. 8,426 was published, which reestablished the rates of 0.65% and 4%, respectively, for the PIS/PASEP and COFINS due on financial revenue earned by legal entities subject to the non-cumulative incidence regime, valid starting on July 1, 2015.
Likewise, with the advent of Decree No. 8,451, published on May 19, 2015, the Federal Government reestablished the PIS/PASEP and COFINS rates due on financial revenue from monetary variances to zero, because of the exchange rate, derived from: (i) operations to export goods and services abroad; and (ii) obligations contracted by the legal entity, including loans and financing.
Since Decree No. 8,451 established that the rate of zero will be maintained only for the above-mentioned operations, the Controller, when settling the corresponding transactions, now collects the PIS/PASEP and COFINS contributions due on monetary variances derived from the fluctuation of the foreign currency observed in the loan agreements granted by the Company.
26.8 - Tax Regularization Program-PRT
On May 31, 2017, Eletrobras subsidiaries (Eletronorte, EDE Piauí, EDE, Alagoas, EDE Roraima, EDE Acre and EDE Rondônia) adhered to the Tax Regularization Program (PRT), established by the Federal Government through the Provisional Measure 766/2017. This program allowed, among other types of payment and installment, to eliminate federal tax debts by using tax loss to amortize up to 76% of the debt and the remaining installment balance in 24 months. The companies of the Eletrobras Group (already listed) registered the amount of R$ 891,249, using R$ 677,349 of tax loss and negative social contribution basis (equivalent to 76% of the consolidated debt) for cash payment and the remainder installments in 24 months. This transaction allowed for a gain of R$ 677,349 related to the use of the tax loss and the negative basis of social contribution.