Federal government extends deadline to register with the Rural Environmental Registy (CAR)

On 06.15.2016, it was published the Law No. 13,295/2016, which resulted from the conversion of the Provisional Measure No. 707/2015, and extends the deadline to register with the Rural Environmental Registry (CAR) until 12.31.2017.

Originally, the aforementioned Provisional Measure defined rules and deadlines for refinancing debts of farmers and truck drivers. The extension of the deadline for registration in the CAR was included by amendment.

The extension, which has already been happening in recent years, was first authorized for small farms (up to 4 fiscal modules) in May with the publication of Provisional Measure No. 724/2016. With the conversion into law of the MP No. 707/2015, the extension of the term has come to include all farmers.

Please note that the deadline to register with the CAR is fundamental given that it is a mandatory condition for joining the Environmental Recovery Program (PRA), one of the possible alternatives to deal with environmental liabilities of rural properties.

The Act also established the date 12.31.2017 as the deadline for financial institutions start to grant agricultural credit only for rural property owners who are enrolled in the CAR.

Although the deadline has been expanded, we recommend that owners do the registration as soon as possible to avoid problems such as overlapping records in the SiCAR (CAR System). This measure also has already been given to rural property owners who have not regularized their properties in the National Institute of Colonization and Agrarian Reform (INCRA) system.

The lawyers of Bastilho Coelho Advogados are available for more information.

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