Centrão evaluates positioning as a block to reject alternative MP to IOF

Centrão parties began to discuss the possibility of taking a stance as a bloc against the approval of the Provisional Measure alternative to the IOF, which raises taxes on investments, among other measures.

The movement gained strength after statements by the president of the PP, Ciro Nogueira, who stated that he could propose this measure within the party. On the other hand, government interlocutors state that, if the MP does not prosper, the solution for the Budget could be spending cuts, including amendments.

According to parliamentarians interviewed by GLOBO, Republicans and PL are also considering adopting the same strategy. Together, the three parties have 183 deputies. To be approved in the Chamber, the measure needs 257 votes. The MP expires this Wednesday. Yesterday, in the joint Congress committee, the result was quite close, 13 votes in favor and 12 against.

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Ciro Nogueira stated that the party is against the initiative.

— Our party is completely opposed to any increase in the tax burden, especially with this bias that has no benefit for the population, other than further highlighting the lack of care with public accounts and spending control in Brazil. Unlike increasing the exemption up to R$5,000, which had a benefit for the population, this justified us increasing the tax burden. In the case of the MP, it is just another attack on the taxpayer’s pocket — said the president of the PP.

In government, the climate is one of apprehension. Allies of President Luiz Inácio Lula da Silva and party leaders admit that the scenario is difficult. After the changes made by the rapporteur, deputy Carlos Zarattini (PT-SP), the assessment is that the problem is no longer a textual one, but a political one. Zarattini stated that the governor of São Paulo, Tarcísio de Freitas, has been working to obtain votes against the MP. Tarcísio denies it.

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The revenues forecast in the original version of the MP are already considered in the 2025 and 2026 Budget. For this year, the expected revenue is around R$10 billion, while next year, with the changes, it should be around R$17 billion.

Lula’s allies say it may be necessary to contingency resources in this year’s Budget. In the case of freezing R$10 billion, there would be R$2.5 billion in amendments.

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