Impasses in the taxation of “purchases” and tax relief were the protagonists of the discussion; Lira wants approval in the Chamber by July
The regulation of tax reform lost the gas it had at the beginning of 2024. Impasses in economic issues, such as tax relief and taxation of “shopping” led the discussion and took up Congress’s time.
Due to municipal elections in October, legislative activities will be reduced. In August, congressmen will focus on electoral campaigns in their cities, and normal activities will only resume in November.
There was concern among congressmen, including that it would take a short period of time to approve the regulatory projects.
The tax reform will be regulated by 3 projects – 2 PLPs (Complementary Law Projects) and 1 PL. Two have already been presented:
- PLP 68, 2024which is the main one and deals with VAT (Value Added Tax);
- PLP 108 of 2024which defines rules for the Management Committee.
In a symbolic gesture, the Minister of Finance, Fernando Haddaddelivered the 1st project in hand to the president of the Chamber, Arthur Lira (PP-AL).
On the occasion, the deputy from Alagoas assured to Haddad who would vote on the key regulations texts until the recess, which begins on July 18th.
The expectation is that deputies will vote on last-minute projects. In 2023, it was no different. The PEC 45 of 2019which created the reform, was promulgated at lights out, on December 20th.
Now, it is up to congressmen to approve the projects to put the text into practice.
On May 21, Lira created the 2 working groups to analyze the 2 PLPs. The president of the Chamber gave each panel a deadline of 60 days to present a final report.
Afterwards, the texts must go directly to the plenary of the Lower House.
In the Senate, the president, Rodrigo Pacheco (PSD-MG), has not yet established a procedure for proposals. However, it must be the responsibility of the CAE (Committee on Economic Affairs), one of the most important committees of the House.
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