Taxation: the rapporteur removes the Cide free zone, the extended basket and 5 sectors from the exceptions; see which ones

After the agreement, the differentiation of the products of the new industrial center will take place through a PPE kept only for this purpose

BRASÍLIA – With last minute adjustments, the rapporteur of the tax reform in the Chamber, the deputy Aguinaldo Ribeiro (PP-PB), canceled the creation of a Cide (Intervention Contribution on Economic Domination) to tax products competing with those produced in the Manaus Free Zone.

Taxation was included during the vote in the Senate, whose speaker was Eduardo Braga (MDB-AM), but met strong resistance from the governors of the South and South-East. The governor of São Paulo, Tarcísio de Freitas, (Republican) said that the device posed a risk to companies located in São Paulo and led a movement of resistance to the measure.

The idea of ​​withdrawal, however, had displeased Braga, putting at risk the implementation of the tax reform by the end of the year. The agreement between the two Chambers is necessary, since the promulgation is up to the National Congress.

However, after a series of negotiations, which lasted until the early hours of this Friday the 15th, and which brought together parliamentarians, technicians and representatives of the Ministry of Finance, it was decided to provide in the text that the differentiation by Zona Franca products will take place through a IPI (Tax on Industrialized Products) kept for this very purpose. The idea was born from the CCif (Fiscal Citizenship Centre), as shown in the art Estadao in October.

“We opted together, the rapporteur Eduardo Braga and I, for the suppression of the Cide and the adoption of the IPI, which will be the IPI Zona Franca. In fact, it will play the same role. It was more than a technical discussion, of the effects of maintaining the competitive advantage of the Manaus Free Trade Zone, which was one of the main issues (under discussion),” said Ribeiro (PP-PB).

Ribeiro also suppressed (withdrawn) the provision that the fuel tax rate should pass the Senate, as proposed by the senators.

Another last-minute change was the elimination of the specific tax regime for five sectors that had been included in the Senate exceptions: sanitation, road concessions, airlines, telecommunications companies, electricity microgenerators and recycling sector.

According to Percy Soares Neto, executive director of Abcon (National Association of Private Concessionaires of Public Water Services), deputies believe that the tax will be charged to private companies, which have taken over the concession of sanitation, but the consumer will be the one paying. .

“The concession contracts provide for the economic-financial rebalancing of the contracts. We will ask for the rebalancing,” he said.

Another issue that divided the Chamber, the extension of the tax benefit to car manufacturers from the North-East and Central-West, was retained in the speaker’s text, but the final decision will be taken in the vote, since the PL will bring the issue under consideration by separate vote by highlighting.

There are other changes compared to the text approved in the Senate. Ribeiro also decided to abolish the creation of the expanded basic basket, with products not covered by the total tax exemption provided for in the narrower national basic basket. The products that are part of the national basket and have zero VAT will be subject to the complementary law.

Ribeiro decided to keep in the text the provision according to which liberal professionals, such as lawyers and architects, have a lower tax rate than the normal one, but eliminated the section that allowed the salary of state auditors to be equated with the remuneration of ministers of Justice. the STF (Supreme Federal Court). The insertion made by the Senate was revealed by the hon Estadao.

The point was considered a “jabuti” by Ribeiro in the reform, since it deals with remuneration in a constitutional text aimed at creating a new consumption tax system. In his vote, the speaker said that city and state leaders asked for the withdrawal on the grounds that the rule would cause these professionals to receive even more than governors and mayors.

The MDB, however, must underline the importance of maintaining this point in the text of the reform.

Sectors excluded from the specific regime

• sanitation and motorway concession services
• air transport services
• operations involving the provision of the shared structure of telecommunications services
• goods and services that promote the circular economy
• distributed microgeneration and mini-generation operations of electricity

Source: Terra

Rose

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