Exemption: Haddad has already opened negotiations, says Padilha – 11/28/2023 – Market

Minister Alexandre Padilha (Institutional Relations) said this Tuesday (28) that Fernando Haddad (Treasury) has already opened negotiations on payroll relief for 17 sectors.

He did not give details about which sectors are in dialogue with the head of the Treasury, nor under what terms or what constitutes Haddad’s proposal.

“Fernando Haddad has already opened negotiations with economic sectors. Certainly, as negotiations begin to mature the proposal, [ele] You can invite members of Parliament to carry out this dialogue so that we have a proposal that is constitutionally acceptable and validated. There’s no point in betting on something that has no constitutional provision”, he told journalists, after participating in an FNP (National Front of Mayors) event in Brasília.

Last week, President Luiz Inácio Lula da Silva (PT) vetoed the extension of the exemption in full, in a victory for the Minister of Finance.

The measure was anticipated by the Panel SA column and led to reactions among congressmen, who promised to overturn Lula’s veto. Parliamentarians also complained about the minister of political articulation, because they expected the president’s veto to be partial.

On another front, businesspeople say they fear the rise in unemployment. Economists praise the president’s decision due to the impact of the tax benefit on public accounts.

Padilha also said that the motto of the proposal that Haddad will build with economic sectors combines constitutionality and a focus on job creation and economic development in these areas.

The Finance Minister, the day after Lula’s veto, promised to present a proposal to replace the tax exemption by the end of the year.

“When COP returns, we will present to President Lula a set of measures that can be taken at the end of the year to also address this problem”, he said at the time.

The minister, however, said it was necessary to wait for discussions on projects that are being evaluated by the Legislature.

Lula and Haddad will participate in COP28, the UN Conference on Climate Change. Lula embarked on Monday (27) for a tour of Middle Eastern countries to seek investment for the country, before participating in the climate meeting.