Friday, June 26, 2015

Textiles and beverages can tax relief in discharge project

The Government promised to pay $ 4.9 billion in parliamentary amendments, ceded positions in second tier and agreed to reduce, even against the will of the Chancellor of the Exchequer, Joaquim Levy, who did not participate in the negotiations on the last day of voting, the revenue gain to approve the Bill repealing the policy makes provision for payroll, but did not prevent two defeats yesterday in the plenary of the Chamber of deputies that will further reduce the estimate of revenues for 2016.
In addition to a tax relief for the textile manufacturing sector, approved yesterday by members, the Government had frustrated the attempt to restrict the tax credits for manufacturers of drinks of the Manaus free Zone, which was intended to raise between $ 2 billion and $ 2.5 billion a year and offset the concessions made to other sectors to approve the project , which follows for analysis in the Senate. The amendment, which was not in the original proposal of the Government and was included at the request of the Irs in the report of the leader of the PMDB, Leonardo Picciani (RJ), led to protests from members of Amazons and strong pressure of drinks that would be affected-Coca Cola, Ambev, Brazil Kirin and PepsiCo-by, approved by 212 votes to 169.
The article would reduce from 20% to 4% the IPI on extracts and concentrates of soft drinks produced in the free zone of Manaus, how Guarana syrup. In this case, the tax reduction would be a problem for the producers of soda in the region because the rate of IPI is converted into tax credits-with the change, these companies would have the benefit reduced by 80%.
The recipe advocated the move to discontinue use of the credits to abate taxes of other products, which desnivelava the competition with companies from other regions. The Government, however, is not mobilized to keep the text and saw part of the Allied base, especially PP, PSD, PR and Pros, the cheating in the vote.
With the help of the PMDB, which articulated the amendment, these parties were the ones that helped the opposition to defeat the Government by 211 votes to 160 and approve a relief in high charges the companies of the sector of textile manufacturing. The Executive wanted to raise the rate of manufacturers of apparel and accessories, such as suits, shelters, gloves, shorts and shirts, to 2.5% of revenues, but the members have approved 1.5%.
The policy makes the first Government Dilma boasts 56 threads, which pay as a form of social security contribution rates of 1% and 2% of the gross revenues. Levy, ranked the makes provision as "a joke that costs $ 25 billion and has not created jobs", decided to increase the rates to 2.5% and 4.5%, respectively.
Rapporteur and project leader of the PMDB, Picciani had forced the Government to accept intermediate rates of 1.5%-3.0%-and for nine of the 56 sectors benefit from exemption: food basket (poultry, pigs and derived; breads and pasta; fish), some branches of transport (railway passenger bus collective; maritime, inland waterway and navigation;;), call center, and communications.
On Wednesday, faced with the threatened loss of the report, the Government had to cede more to meet the Rio Grande do Sul, mainly members of the PP and PMDB, by reducing the tax rate provided for the sector of footwear and textiles. Followed more makes the transport segment, with the inclusion of ancillary services of air transport. And, pressed by ruralist countertop, canceled completely the increase to the pigs, poultry, fish foods and breads.
All these concessions, along with the amendment approved yesterday, reduced the prediction made by Levy to raise $ 12.5 billion a year with the "reoneração" of the sectors. The Government did not estimate after the vote. Second Picciani, the recipe should stay in more than R $ 10 billion value, however, that the pemedebista already reported before all the changes in opinion.
The Mayor, Eduardo Cunha (PMDB-RJ), the Government must have been programmed to lower revenues. "Anyone who knows this House knows that a project like that don't get out of here without changes. The Minister should have had more fat than needed. If you didn't do it that way, will learn to make next time, "he said.
In the three major polls project, the PP was the basis that betrayed the Government more, despite concessions from the Presidential Palace to meet the requests of the acronym. Of the 26 members who voted on the text basis, 11 rejected the proposal, including almost the entire countertop, whose demand was easing the tax increase for footwear and textile branches. The highlight of the drinks, only two of the 26 parliamentarians accompanied the Government.
With the changes, the industry, which was the initial target of makes, is virtually out of the program, generally with a rate of 2.5%, except for the exceptions. "This measure penalizes even more businesses because more than doubles the tax rate levied on the billing. This is going in the opposite direction of our competitiveness, "said in a statement the President of the National Confederation of industry (CNI), Robson Braga.
The Government continues with the deadline to sanction the project until the end of the month, that will probably have to be postponed. The text still has to go through the Senate, where three provisional measures-which have priority-lock the agenda. Levy argues that the measure enters into force as soon as possible so that more resources get in the public coffers this year.
Valor Economico
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