One of the worst obstacles to the growth of the category of internet providers in Brazil is the high tax burden on these companies. The rate of ICMS practiced in Bahia, for example, is 27% – equivalent to the amounts charged for luxury goods such as motorboats. To reduce the amount of taxes paid, it is necessary to diversify the sources of revenue with Added Value Services (SVA), with the benefit of reducing the tax burden.
This is because there is an incidence of ICMS tax on revenues from telecommunications services; while there is not the same incidence in the income of SVA – an understanding already pacified by the Superior Court of Justice (STJ) through the summons 334.
Therefore, implementing SVA stands for:
Loyalty. Customers will not need to change providers to have all the services they need;
Increase the average ticket. The average value of sales per customer will increase as they will be charged for various types of services at the same time as lower taxes will be paid.
In the most common mode of service/revenue sharing, a part of the monthly fee charged to the consumer is made as Multimedia Communication Services (SCM) and another part as SVA.
It is worth mentioning that the National Telecommunications Agency (Anatel) requires gratuity in the provision of support services, except in cases in which the customer caused the service to be provided.
But, stay calm, it is possible to think of the diversification of revenues in various modalities.