How to donate (via tax incentives):
1- For a Pronac approved Project:
- Interested party – individual or company – send us the information necessary for the temporary receipt;
- We send you the bank and bank account data, and the temporary receipt;
- Interested party makes the deposit (type 1 – donation, or type 2 – sponsorship) and send us the deposit receipt;
- Upon confirmation of credit/amount at the project escrow account, we send the final receipt through the postal service.
2- For a ProAC (ICMs) approved Project:
Step 1:in order to benefit from the tax incentive, the company should apply for the ProAC sponsorship program on the website of SEFAZ (State of São Paulo Treasury Office). At the beggining of the month following the application, upon compliance with law requirements, SEFAZ issues the qualification of the company.
Step 2: The company is now able to sponsor ProAC approved projects through SEFAZ proprietary system. The system estimates the company’s maximum sponsorship amount eligible for the benefit on a monthly basis. The company issues bank slips on SEFAZ’ system to sponsor cultural or sport projects approved under ProAC. Bank slips are due for payment up to the last workday of the month of issuance
Step 3: Following the payment of bank slips, the company can book 100% of amounts invested on the projects as ICMS tax credits of the specific month. As an example, in case the company invests 2% of the ICMS payable of a given month on a ProAC approved project, the company will pay the Treasury Office only the remaining 98% of the ICMS tax.
How does it work?
Tax Incentive of up to 3%* of ICMS tax due by Corporates. Does not prevent the Company from benefiting from other tax incentives**.
Example: A Company that pays R$ 5 million in ICMS tax per month to the government can allocate up to R$ 150 thousand per month in cultural projects sponsorships. The Company can choose the project to be sponsored.
* As set in the decreasing tax rate table, depending on the amount of ICMS tax due.
** Does not compete with other incentives