Deputies say that a measure bar advancement of the tax burden and protects the Brazilian’s pocket
Opposition deputies celebrated, on Wednesday (25), the approval of the Legislative Decree (PDL) project that overthrow the increase in (tax on financial operations) established by the president’s government (PT). The measure, which had strong resistance from the conservative bench, was presented as a direct response to the executive attempt to expand the tax burden to cover the spending of the public machine.
The Deputy Deputy Deputy, Deputy (PL-RS), classified the plenary’s decision as a clear message to: “The Lula government wants to cover their own rhomments and spending with more taxes to the people. We said no. IOF costs credit, stifles consumption and directly affects the economy.
In the same line, the deputy (Union), also deputy leader of the opposition, criticized what he called the government’s fiscal irresponsibility. “They spend badly, increase the public machine and then want to charge the account of the people. Congress gave an answer: enough to punish the Brazilian with taxes to play the lack of control of the Plateau,” he said.
The deputy (PL-MS) reinforced criticism of the government’s economic policy, accusing the executive of maintaining a “collecting addiction” by trying to raise taxes rather than cutting privileges and waste. “The PT never knew how to cut in its own meat. He prefers to increase taxes than to revise privileges or adjust the machine. Those who produce and work are already on the edge. People cannot pay for the incompetence and extravagance of the Lula administration.”
The deputy (PL-SP), in turn, highlighted the direct impact of the measure in the daily life of Brazilians and classified the result as a victory of society: “We managed to block the increase in IOF-another absurdity that would weigh in the citizen pocket. Our commitment is with less taxes, more freedom and respect for the sweaty money of each worker.
Understand the case
The overthrown decree provided for the increase in the IOF rate on credit operations. The government argued that the measure was necessary to ensure fiscal balance and combat the evasion of taxes by the richest. The opposition, however, countered that the increase would directly penalize workers, small entrepreneurs and low -income consumers. PDL approval was considered a defeat to the Lula administration in the House, which saw its base be weakened even among allied parties. The bill will still be analyzed by the Federal Senate.
The overthrow of the IOF decree happens amid a scenario of growth of dissatisfaction in Congress with the conduct of economic policy, especially in the face of the attempt of the Ministry of Finance to increase the collection without cutting spending. If approved in the Senate also, the PDL prevents the application of the new IOF rates and maintains previous percentages. The clash, however, signals a broader dispute between executive and legislature about the course of fiscal policy in the country.
