Alckmin proposes increase in GST for beer and cigarettes

Was sent yesterday (28) to the Legislative Assembly of the State of São Paulo (Alesp) proposal to increase the rate of tax on transactions involving the movement of goods (ICMS), referring to the beer and cigarette. On the other hand, medicines have reduced tax.
The text, published in the Official Gazette of the State, reports that tax rates will, in the case of beer, from 18% to 23%; cigarettes will increase from 25% to 30%. In addition, other 2% will be added to the anti-poverty Fund (Fecoep). The reduction in generic drugs will be 18% to 12%.
If approved, the changes will generate an additional approximately $ 3 billion to the Government coffers Geraldo Alckmin (PSDB). Of the total, R$ 500 million shall be allocated in the municipalities and r $ 1 billion will go to Fecoep.
According to data from the Secretariat of finance, the changes will bring an increase (only in Government box) of 1.4 billion R$ in storage with beer and 396 million R$ with cigarette. With the reduction of medicines will be R$ 216 million, with 1.5 billion R$ of R $ 3 bi.
Alckmin also published decree that resets the ICMS tax of rice and beans, which make up the basket-before, the São Paulo State Government charged 7% tax on these two foods. The decree reduces the calculation basis on the outputs, decreasing from 12% to 8%.
For State representative, Vaz de Lima (PSDB), the changes show the Governor's commitment to reduce the effects of the economic crisis.
"It was a technical decision, how can you, in a time of crisis, to increase storage room, without penalising the population. It is reasonable to think that superfluous products are increased, "said the tucano.
"On the other hand, reduce taxation to who is being penalized by buying medicines and essential products, is a correct concept," he added.
Yesterday, in a meeting with the Parliament's Finance Committee, the Secretary of planning and management, Marcos Antonio Monteiro, said that the amount collected with the ICMS between August and October, will be 2.3 billion R$ less.
Creation of Fecoep
The anti-poverty Fund (Fecoep), which will be under the responsibility of the Social Development secretariat, will be responsible for promoting, coordinating and integrating actions aimed at reducing poverty and social inequality. The resources will be increased 2% as a result of the GST of smoke and beer.
The Secretary of Social Development, Floriano Pesaro (PSDB), evaluates the measures will serve to help the Government end the social misery and balance the books.
"The idea is that resources for combating poverty in its multiple forms. Since social development, to food security, housing, health, education, child and adolescent clipping, "explained Pesaro.
The existing programs in the folder and others, that are in preparation, will have Fecoep additives.
"These actions will impact very important both in social development, and the balance of the State accounts. Is a measure where the Governor comes out ahead, "he added the Secretary.