Tax reform: rapporteur says he is working with a 0.7 pp reduction in the tax rate

by Andrea
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The federal deputy Reginaldo Lopes (PT-MG)rapporteur of the tax reform regulation project in the Chamber of Deputies, announced this Monday (16) that he is working to reduce the standard rate of the new tax system by 0.7 percentage points, adjusting changes introduced by the Senate.

According to him, the measure is essential to ensure that the tax burden does not exceed the stipulated limit of 26.5%.

“We are working on the prospect of presenting to the college of leaders a reduction of 0.7 in the changes to the rate that the senators made. So, precisely, because we are going to reaffirm the lock, that is, guarantee for Brazilian society that the rate will not exceed 26.5%”, said the parliamentarian, in an interview with GloboNews.

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“So, in our calculation, some changes are possible. Yesterday, we presented to the president of the house Arthur Lira, together with the co-rapporteurs, our proposal that reduces the rate by 0.7 pp”, added Lopes.

The suggested changes, according to Lopes, are necessary to balance the rates of sectors with different regimes so as not to burden society as a whole. He cited as an example the cashback (tax refund) proposal for certain segments, which would be more efficient than directly reducing tax rates.

“We believe that the most appropriate mechanism to deal with this matter. This is an example that we go to the college of leaders”, stated Lopes.

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Regarding possible changes in the Senate, the deputy recalled that the Chamber has the prerogative to end the debate on the text of the regulation, since it is a complementary bill.

“I will present a text that excludes changes from the Senate. Just like that. It’s good to remember that we are a review house. In any case, the text ends in the chamber of deputies. It is not a constitutional amendment, it is a complementary bill, and a complementary bill ends in the review house where it begins. So, under no circumstances will he return to the Senate”, he guaranteed.

The proposal will be taken to the college of leaders and discussed before going to a vote in the plenary, scheduled for this week.

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