By five votes to three, the 1st Panel of the Superior Chamber of Carf understood, within the scope of process 10882.723478/2015-71, that expenses with employee celebrations are not deductible from IRPJ and CSLL, since they would not be necessary for the company's activity, according to article 299 of the Income Tax Regulation (RIR/99).
The device establishes that “expenses not included in costs, necessary for the company's activity and the maintenance of the respective production source, are operational”.
The taxpayer, a company that sells personal hygiene products, recorded as operating expenses the costs of holding June and end-of-year parties for its employees and deducted them from the IRPJ and CSLL calculation basis. For the tax authorities, the expenses with celebrations are not necessary and, therefore, are non-deductible.
The winning position was that of counselor Edeli Bessa, who filed a dissenting opinion. The judge understood that the holding of parties by the company is not essential for the maintenance of its production source, and, therefore, the expenses with these events are not deductible. Four other counselors agreed with her.
“I cannot see this as non-deductible. I have always maintained that these corporate events that are open to everyone are of an operational nature,” said the rapporteur, counselor Luis Henrique Marotti Toselli. For him, the get-together is not a mere liberality and is an essential element for working relationships between employees. Counselor Lívia de Carli Germano and counselor Alexandre Evaristo Pinto accompanied him.