New policies geared toward more investments in Brazil.
The Brazilian federal government announced two new policies in order to promote foreign investments in Brazil. They are part of the newly issued program " Investment Now! " . According to the Minister of Finance, Antonio Palocci, the " Investment Now" program entails first the reduction of the term concerning the PIS/ COFINS taxes return on machines and equipments. The term used to be ten years and now it was reduced to two years. The other policy was to enable companies to depreciate machines and equipments in their income tax return form in 5(five) years. The federal government expects to promote foreign investments in Brazil as a result of the implementation of these new policies.

Exportation in Consignment
For the jewelry and precious stones sectors, newly issued regulation enables Brazilian exporters to sell their items abroad in consignment. The goods so exported in consignment will be allowed to stay abroad for a maximum term of 180 days. After the expiration of this term, the term may be either renewed or if there is no more interest , the exporter must bring the items back to Brazil.

New tax opportunities for foreign investors in Brazil Our law firm has recently obtained a court award according to which the PIS/COFINS taxes have been deemed to be levied ( contrary to government´s claims)_ on the mere CIF value of the importations. This has drastically reduced the tax impact on the importation of all items in about 25%.
Likewise, we have been able to obtain in court ,a judgement according to which companies have been exonarated to pay taxes on symbolic closing of exchange agreements. As known, federal government has claimed taxes on such particular agreements.