The Mayor of the Brazilian Chamber of Construction Industry (CBIC), Renato Correia, said in an interview with CNN Money This Monday (9) that the measures announced the day before by Finance Minister Fernando Haddad will lead to less resources for housing in the country.
“Our industry sees with great concern [as novas medidas]. What we understand is that the government, in order to achieve fiscal balance, needs to work on revenues, but also the efficiency of spending, and we have not seen spending cuts so that there is this balance with the lowest possible taxation, “he said.
On Sunday evening, Haddad announced alongside party leaders of the House of Representatives some collecting measures that will be alternatives to the increase in financial operations tax (IOF) after the imbroglio caused by a government decree a few weeks ago.
Among the alternatives announced is the end of the exemption of income from real estate credit letters (LCIs), which were not taxed and serve as an incentive to the housing sector of Brazil.
“It was a good measure to create the LCIs and now with the taxation, it is a disincentive. So we are very concerned,” Correia added.
The president of CBIC stressed that there is a housing deficit of about 7 million dwellings. According to him, the new measures will mainly affect the middle class that seeks to finance a property.
“It is a utopian measure to speak of zeroing the housing deficit, but shows the size our country has in relation to housing, which is a constitutional right and has no guaranteed budget forecast, just as health and education has.”
“The financing has been the major concern of the sector when we deal with the property for the middle class, over $ 500,000 and up to $ 2 million. This audience needs add -ons to payment. The scarcity of savings account resources, the high of Selic and, now with taxation, this really shows a disincentive,” he concluded.
