Government increases benefit for soft drinks

The federal government decided to expand, as of October 1, a tax benefit for the refrigerants industries installed in the Manaus free zone. The presidential decree will increase from 8% to 10% the tax on industrialized products (IPI) of "concentrates" for soft drinks. In practice, with the measure, the government will allow manufacturers to have greater tax benefit, reducing federal revenue. In the free zone the IPI is zero. When the government increases the tax, it also grows the benefit. These credits can be used, for example, to take down debts with the union. The Ministry of Economics stated that the measure will cost R $18.5 million to the public safes in 2019.