Mayor disapproves of increasing the income tax exemption ceiling to R$5,000, a measure that, in his view, could negatively impact the finances of states and municipalities
The mayor of Rio de Janeiro, (PSD), expressed dissatisfaction with the tax proposals presented by the federal government. During an event held at Copacabana Palace, aimed at businesspeople, Paes, who is an ally of the government and very close to the president (PT), spared no criticism of the announced measures. He highlighted that Brazil’s fiscal situation has deteriorated since the PT government, attributing part of this worsening to tax and tax exemptions implemented at that time.
According to Paes, these exemptions failed to generate income, but, on the contrary, increased pressure on the company. It is worth remembering that former president Dilma, currently in charge of the Brics bank, was removed from office due to fiscal pedaling. Furthermore, the mayor expressed dissatisfaction with the federal government’s recent economic package, which, according to him, displeased the market and resulted in a rise in the dollar.
A specific point of criticism was the increase in the exemption ceiling to R$5,000, a measure that, in the mayor’s view, could negatively impact the finances of states and municipalities. He highlighted that IR is one of the few taxes shared with these spheres of government, and that the measure was not well received by Brazil’s mayors, who are looking for tax relief. Paes emphasized the importance of maintaining a fiscal balance and creating favorable conditions for investments.
In his fourth term, something unprecedented in the history of Rio de Janeiro, Eduardo Paes aims to guarantee fiscal solidity between 2025 and 2028. He is committed to recovering the city’s investment grade, a seal of good pay that the municipality already had in 2012. To this end, he highlighted the need to create conditions that attract investments and improve the city’s risk classification. During the Lide group event in the south zone of Rio de Janeiro, he reinforced his goals for the city’s future, in addition to inaugurating the transition office for his new mandate.
*With information from Rodrigo Viga
*Report produced with the help of AI
