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The law was approved that changes the rules of international relations of the Federal Revenue PL and changes the IR system for private citizens, corporations and financial investments, but larger changes affect individuals.
The House of Representatives, on Wednesday (01/09), approved the bill 2337/21 that changes the income tax rules. The bill, which the executive branch sent to the National Congress, includes the second stage of tax reform. The bill was approved by 398 votes to 77, with 5 abstentions. Voting on the most prominent events was for Thursday (02/09).
The text changes the income tax for individuals, corporations and financial investments, but the larger changes affect individuals, whose exemption range will be subject to an adjustment from R$1,903.98 to R$2,500 per month.
The opposition adopted the bill after Rapporteur Celso Sabino (PSDB-PA) approved all the amendments proposed by the various parties, particularly those related to profits and profits. The new party has submitted a request to withdraw from the project’s agenda, claiming that PL is complicating rather than simplifying.
However, the majority and the minority voted against withdrawing from the agenda. The Novo application, submitted by Representative Alexis Fontaine (Novo-SP), lost 391 to a 44 draw in its favour.
According to the government, 50% of current taxpayers – about 5.6 million taxpayers – will be exempt from paying income tax. The exempt number is currently about 10.7 million out of a total of 31 million taxpayers.
For MP Celso Sabino, rapporteur of Hizb ut-Tahrir, by approving the bill, 16.5 million Brazilians will be exempted from income tax, especially the poorest. All parties and ideologies built this project together. Forty years ago there was talk of tax reform. But, due to different interests, a consent. Instead, Brazil has increased the tax burden even today.”
25 years ago, Brazil adopted a dividend and dividend exemption policy and raised the tax burden on the productive sector by 34%. He continued: The PL law reduces the tax burden on all sectors, and this will create job opportunities. “Vote for is to reduce income tax for all individuals. It is concluded that any income group can opt for simplified declaration.”
Sabino handed over the initial opinion of the proposal in July to the Speaker of the House, Arthur Lyra (PP-AL). The PL text suggests that for companies earning up to R$20,000 per month, the rate will be reduced from 15% currently to 5% in the first year, and to 2.5% in the second year. Companies earning more than R$20,000 will cut their rates from the current 25% to 12.5%. – Source: R7
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