The Lula administration got it exempt those who earn up to $ 5,000, reduce the tax of those who earn between $ 5,000 and $ 7,350 and demand that the very rich pay at least 10%. The proposal was unanimously approved, showing that what can unite Brazil are the good ideas, not the usual picks.
If the reform is approved by the Senate, as expected, it must enter history as an important farm minister.
It approved that of 2023, which should make Brazil grow more and favor our industry. And approved the 2025 income tax reform, which must ensure that growth fruits will be divided more decent.
None of this must have the slightest impact on political discourse. Even after zeroing the income tax of 10 million Brazilians, Haddad will continue to be. Even after being the Prime Minister of Finance to tax the rich, he will continue to have people on the left saying he is neoliberal.
It is always good to remember: the tax that Haddad will charge the very rich is only the minimum required by decency. Millionaires will be forced to pay at least the same tax rate tax rate by teachers and military police. No, they currently do not pay.
If you see this small victory, remember: No government had come close to getting it. Brazil has been governed several times by, one of the largest left parties in the world, and had never achieved any of this.
And until the last minute there were big people wanting to lift the minimum tax for millionaires.
The PL pockets, for example, tried to overthrow the taxation of millionaires while, to disguise, they argued that the income tax exemption was for those who earn up to $ 10,000.
This proposal was illegal: The Fiscal Responsibility Law requires to say where the money will come from to compensate for the loss of revenue. Without taxing the rich you can’t even exempt those who earn less than $ 10,000 or those who earn less than $ 5,000 or anyone.
The PL proposal, therefore, would make everything continued as it was, without exemption to anyone and without tax for the millionaires.
It went wrong.
Lula, Haddad and the Brazilians have been helped by the disastrous maneuvers of the right -wing congressmen in recent weeks. After two weeks when Congress was dominated by amnesty and armor pickups, the image of Congress was very worn out.
The left managed to make their first large street demonstrations in many years, including invoking the anti -corruption agenda, which was being monopolized on the right.
Congress needed to do something to clean its bar, and income tax reform came in handy.
Reform differs from why it puts money in the pocket of workers, not corrupt politicians. And it differs from amnesty to scammers because it is a sign of functioning democracy, the state adjusting its financing according to the interests of the majority.
When you least expect it, the institutions go there and work.
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