Dispute between municipalist organizations has fought mayors to compose collegiate, who will begin to function only with the participation of the states; There is a risk of judicialization
The Superior Council of the IBS Management Committee (Tax on Goods and Services), created by the tax reform, will be installed on Friday (16.MAI.2025) only with the participation of the states. The dispute between two municipal organizations prevented the definition of city representatives in the collegiate. There is doubts whether the council may work full and, therefore, the states will trigger justice.
IBS will unify the ICMS (state) and ISS (Municipal). The Superior Council will be responsible for managing the collection of the tax and for redistributing the appeal among the federative entities.
This new tax is estimated to move more than $ 1 trillion per year when it is fully implemented. The agency will be headquartered in Brasilia and should receive from the Union R $ 50 million per month in 2025 for its operation.
A managing pre-commencement has been in operation since the end of 2024 to anticipate some decisions, such as internal regulations, physical structure, operational model and regulation elaboration. All of this will still have to be confirmed by the Superior Council.
In total, 440 people work in pre-promotes, between secretaries, auditors and technicians of the federative entities. It was formed through an agreement between Comcefaz (National Committee of the Secretaries of Finance of the States and the Federal District), the FNP (National Front of Mayors and Mayors) and the CNM (National Confederation of Municipalities).
The date for the beginning of its operation was established by the Complementary Law of January 16, 2025. The text, which regulates part of the tax reform, determined that the collegiate should be installed within 120 days after its publication.
The states and the Federal District will have 1 seat each, totaling 27 state representatives – which have already been nominated on April 13. The municipalities will also have 27 representatives. In the law, it was defined that 14 members will be chosen by the direct votes of the mayors and 13 by a criterion that takes into account the population of the cities. A kind of bicameral system of choice was formed. It is defined that, in the first year, the Chairman of the Council will be a representative of the states.
The disagreement between the FNP and CNM began in April when they began to define the rules for the election of the plates that would compose the 2 groups of chairs intended for the mayors.
The front claims that a political agreement was made during the law in Congress so that the two organizations were divided as follows:
- CNM – would choose the 14 representatives related to the vote of the municipalities;
- FNP – would choose the 13 representatives based on the population.
According to the FNP, the agreement would have been broken by CNM, which set up plate to compete in the two categories defined by the law.
The FNP represents 147 of the 415 cities of the country with more than 80,000 inhabitants, according to data from its official website, especially the capitals. Already CNM claims to bring together 95% of the 5,568 municipalities in the country, including mainly the small ones, but also with the participation of medium and large.
The divergence between the two organizations began in April. CNM estimates that it is able to win in both elections and share with the FNP part of the 14 seat group. The Confederation accuses mayors of postponing the election to change the rules.
The FNP defends the approval of an amendment to the 2nd Tax Reform Regulation Project (Complementary Bill), authored by the Senator (PSD-BA). The text is under analysis in the Senate.
The amendment proposes changes in the electoral process, determining only one vote and guaranteed that the first 14 chairs are nominated by CNM and the other 13 with FNP representatives, following the current rules. Alencar welcomed the amendment and introduced her to the project to be his own.
The Senate CCJ (Constitution and Justice Commission) will hold a public hearing on Tuesday (20.MAI) to discuss the bill.
Given the impasse between the two organizations, the Management Council will be installed this Friday with the State Finance Secretaries. Governors, however, will trigger justice to ensure the full functioning of the Superior Council while FNP and CNM do not reach an understanding.
There is a fear that the agency is paralyzed and cannot even receive resources from the Ministry of Finance for its operation and for the development of the new investigation and collection system, which should be done by a company to be hired. States want to avoid delays in these processes. Under the law, all Council decisions should be made by 60% of representatives of the Federation and Municipal Units.
In addition to the space division of the Superior Council, the FNP lists some requirements for the elections of those nominated to the Council. The organization claims the use of digital certificate, biometrics and access by Gov.br to ensure the authenticity of each mayor’s vote. CNM, in turn, says it agrees to use the digital certificate, but asks that it is also possible to send a password to mayors who do not have access to the device.
