SAO PAULO (Reuters)-Finance Minister Fernando Haddad lamented on Tuesday that tax reform approved in the National Congress has expanded the exceptions for tax payment, but said he believed this could be reevaluated by 2032, when his transition period ends.
“If I could put a defect in this reform – in the face of the chaos we are living, it is even sin to say that it is defective – we will expand the exceptions,” said Haddad during an event at the Federation of Industries of the State of São Paulo (FIESP), in the state capital, adding that this leads to an increase in the average tax that will replace the taxes and contributions that are in force today.
The minister pondered, however, that the “fight is not over” and that it will be necessary to “work hard for the transition to conclude.” By approved legislation, there will be a transitional period in the tax reform by the end of 2032, with the total implementation of the reform scheduled for 2033. “And by 2032 we can reevaluate the exceptions and decrease them,” he added.
Haddad also took advantage of the event with entrepreneurs at Fiesp to again criticize Jair Bolsonaro’s initiatives.
“Great legacy of the previous government was a reduction in the jet ski tax,” Haddad pinned, noting that part of the opposition to the Lula government voted against tax reform. “Bolsonaro was in Congress changing vote to harm the industry,” he said.
In recent months, Haddad has adopted in public events a more critical speech to the opposition and specifically Bolsonaro – still a prominent figure for the 2026 electoral game, although it is technically ineligible by decision of the Superior Electoral Court (TSE).
