The Minister of the Attorney General of the Union (AGU), Jorge Messias, said in a statement that “values the proposal for interinstitutional dialogue suggested by the STF, recognizing it as an important space for conflict resolution.” Earlier, Federal Supreme Court (STF) Minister Alexandre de Moraes suspended the measures of the Government and Congress dealing with the Tax on Financial Operations (IOF) and called a conciliation hearing for July 15.
According to Messiah, the AGU will use the hearing to demonstrate the “full compliance of presidential decrees with the Constitution, emphasizing its proper use in conducting economic, currency and insurance policy of the Federal Executive Power”.
In the minister’s assessment, Moraes’ decision “understands as reasonable and plausible the argument of the Union about the violation of the principle of separation of powers” and “highlights the need to clarify the doubt raised by the National Congress about possible deviation from the purpose of the presidential decrees, especially due to the tax character of the measures”.
Continues after advertising
In suspending measures on the IOF, Moraes assessed that there are problems both in presidential decrees that they increased the IOF and the decree issued by Congress to overthrow the measure. On the one hand, he pointed out that the possibility of Congress to suspect an Executive Decree is something “exceptional” and is restricted to acts that “exceed regulatory power.”
On the other hand, he considered the allegation of the Congress reasonable that the IOF is an extrafiscal tribute, without the purpose of the purpose and considered that the judiciary can analyze possible deviations from the purpose of administrative acts of the Executive.
In a publication in the X, Messiah also stated that “the principle of separation of powers stands out as the true triumphant in the decision given today” and stressed that the tax issue “is not the sole responsibility of the Executive Power, but a duty that is up to the Brazilian State in its entirety.”
Continues after advertising
“I have full confidence that the actions of the executive branch are in line with the proper conduct of the country’s tax and economic policy. We will continue to seek conciliation, as we always did, keeping open to dialogue,” he added.
