State public utility status: what the title gives a federation

State public utility status (utilidade pública estadual) is Santa Catarina’s official recognition of a nonprofit organization, granted by a law voted in the Legislative Assembly. On its own, it does not give donors any deduction from Imposto de Renda (income tax): that comes from the incentive laws, not from the title. This is how it works for organizations and donors in Brazil; readers abroad do not pay tax in Brazil, but the explanation shows what the title does and does not mean.

FECAMTT, the Santa Catarina Traditional Muaythai Federation (Federação Catarinense de Muay Thai Tradicional), based in Balneário Camboriú, received this title through State Law nº 19,281 of April 11, 2025. This article explains what the law says, what the title changes in practice and how a sports federation applies for its own.

What state public utility status is

In Santa Catarina, the title is granted by a specific law. Each recognized organization has its own law, and all of them are gathered in a single list: the Single Annex (Anexo Único) of Law nº 18,278 of 2021, which consolidates the acts granting the title in the State.

The rules for applying for and keeping the title are in Law nº 18,269 of December 9, 2021. It lists the required documents (art. 3) and says how the organization proves the title once it is granted (art. 8).

In practice, the title works as the organization’s “public ID card”. It says the State has recognized that the association or federation provides a service of collective interest. Nothing more, nothing less.

FECAMTT and Law 19,281/2025

Law nº 19,281/2025 has two main articles:

• Art. 1 declares the Federação Catarinense de Muay Thai Tradicional (FECAMTT), based in Balneário Camboriú, a state public utility.
• Art. 2 amends the Single Annex of Law nº 18,278/2021, adding FECAMTT to the State’s consolidated list.

The bill was PL 0409/2024, introduced by state representative Carlos Humberto, and the law was published in State Official Gazette nº 22,492-A of April 14, 2025.

FECAMTT has existed since 2011 and is registered with the State Sports Council (Conselho Estadual de Desportos) under nº 237/CED/2022, as stated in the federation’s official calendar. It is the organization that runs traditional Muaythai in Santa Catarina and that submitted the Muaythai nas Escolas (“Muaythai in Schools”) project, approved under PIE/SC (Santa Catarina’s Sports Incentive Program).

A word of caution to avoid confusion: in 2025 another Muaythai organization, based in São José, also received state public utility status through its own law. There is also a federation with a similar name in Lages. The FECAMTT of Balneário Camboriú is the one in Law 19,281/2025.

What the title does not do

This is the part that causes the most confusion, so it deserves very direct sentences.

The title does not turn an ordinary donation into an income tax deduction. Someone who donates R$ 1,000 to a public utility organization without going through an incentive law deducts nothing from Imposto de Renda. Law nº 11,438/2006 (the Sports Incentive Law) only gives a deduction for donations to a project approved by the Ministry of Sport, within the limit of 7% of imposto devido (tax due) for individuals. A recognized organization and an approved project are different things.

The title is not registration with the FIA. A donation to the FIA (Fundo da Infância e Adolescência, the Children and Adolescents Fund) of Balneário Camboriú goes to the fund, which passes it on to projects chosen by the Municipal Council. See the route in how to donate to the FIA of Balneário Camboriú.

The title does not replace PIE/SC. The route for a Santa Catarina company to turn ICMS (state tax on goods and services) into sport is PIE/SC, with an approved project and a fundraising letter (carta de captação). The public utility title is one of the documents that help show the organization is serious, but what counts is the project’s approval. We explain this in Muaythai nas Escolas: how FECAMTT got into PIE/SC.

In numbers: someone with R$ 10,000 of tax due can allocate up to R$ 700 to a project approved under the Sports Incentive Law or to the FIA. They cannot allocate anything “to the federation” just because it has the title. If anyone promises that, be suspicious.

What the title actually does

Law 18,269/2021 refers to the “legal benefits of the title”, and to use them the organization must show an up-to-date certificate issued by Alesc and an up-to-date CNPJ (Brazil’s company tax ID) (art. 8, § 1). The exact list of these benefits depends on other state and municipal rules and was not confirmed in an open source for this article. That is why we do not list them here.

What can be said with confidence:

1. The title is public proof of the State’s recognition. This carries weight in public calls, partnerships and funding agreements (termos de fomento) with public bodies.
2. The title goes into the consolidated list of Law 18,278/2021, which any citizen can consult.
3. The title requires upkeep: without an up-to-date certificate, the organization cannot use the benefits.

For FECAMTT, the recognition came in the same year Muaythai nas Escolas was approved under PIE/SC. They are different signs of the same thing: a small federation from Balneário Camboriú that decided to follow the formal path to the end.

How a sports federation applies for the title

The process follows Law 18,269/2021 and the guidance of the Alesc Legislative Consultancy:

1. Check that the organization fits art. 2. The title goes to private legal entities, without economic aims, that promote activities of collective interest, including “the free practice of sports” (art. 2, V). Mutual-benefit, religious or party organizations are excluded (art. 4).
2. Gather the documents in art. 3. The law requires, among others: being incorporated in Santa Catarina; having a CNPJ; having operated continuously for the 12 months before the request, with a statement from the president; founding minutes and bylaws registered with a notary; minutes of the board’s election and inauguration; a statement that it does not pay its officers or distribute profits; a month-by-month activity report for the previous 12 months; and a statement that it is not an OSCIP (Organização da Sociedade Civil de Interesse Público, a different legal status).
3. Approach a state representative. The request enters Alesc through a legislator’s motion. The representative is the one who introduces the bill.
4. Follow the bill’s progress. The bill goes through committees and the floor. If approved and signed, it becomes a specific law, like Law 19,281/2025.
5. Request the certificate from Alesc and renew it. The certificate is valid for 3 years (art. 8). To keep the title, the organization submits a request, a report on the previous year’s activities, a certificate of operation and a certificate of registration with the notary (art. 7). The Legislative Consultancy asks for any additional documents through the SEI electronic system (art. 9).
6. Keep everything on the transparency portal. The law, the certificate and the registration with the State Sports Council should be public. FECAMTT publishes its calendar and documents at fecamtt.com.

There is no fee to apply for the title this way, but there is work involved: up-to-date bylaws, registered minutes, a monthly activity report and organized accounts.

Common mistakes

• Advertising “donate and deduct it from your income tax” just because of the title. This is false and can cause problems for both the donor and the recipient.
• Letting the certificate expire. The title comes from a law, but using the benefits depends on an up-to-date certificate.
• Confusing state public utility status with municipal or federal status. They are different titles, under different laws.
• Applying for the title with less than 12 months of documented activity. Law 18,269/2021 requires continuous operation over the previous 12 months and a month-by-month report.
• Thinking the title replaces registration with the State Sports Council. They are separate requirements.
• Forgetting that any citizen can request revocation. Under art. 6, a reasoned request to a state representative is enough if the organization stops meeting its purposes or requirements.

How to do it today

If you run a sports association or federation in Santa Catarina:

1. Read Law 18,269/2021 and set aside the documents in art. 3.
2. Identify a state representative with ties to sport or to your city.
3. Put the file together and submit the request.

If you are an individual and want your tax to become sport in Balneário Camboriú, FECAMTT’s title is not the route. The routes are the FIA and projects approved under the Sports Incentive Law. See the summary in Sports Incentive Law: how it works.

If you run a Santa Catarina company and want to support Muaythai nas Escolas through PIE/SC, the Mestre explains the project and how your company can take part. This is how companies in Brazil do it. If you live abroad, you do not pay tax in Brazil, but you can still support the project: talk to the Mestre.

This content is for information only and does not replace advice from your accountant. Rules may change: always check the wording currently in force.