FPA presents proposal for relief from the basic food basket – 03/26/2024 – Market

A group of 30 deputies led by the Parliamentary Agricultural Front presented this Tuesday (26) an alternative proposal for exemption from the basic food basket that includes the benefit for processed foods.

The text is part of the initiatives to regulate tax reform. The government will present its projects in mid-April, but parliamentarians have coordinated with the private sector to present alternative proposals.

The complementary bill contains a list of “foods intended for human consumption or used in the industrialization of products intended for human consumption, regardless of how they are presented.” They will be part of CeNA (National Basic Food Basket).

The rule provides for a zero rate for the tax and contribution provided for in the reform. Until these taxes come into force, the Federal Executive Branch will have the option to reset the PIS/Cofins rates, which will be extinguished in 2027.

The list contains 19 items, including animal proteins (including frozen and seasoned products), milk and dairy products (including whey, fermented milk and infant formulas), and prepared sauces and condiments.

The project is an expansion of the items that make up the basic food basket provided for in the decree of the Ministry of Development and Social Assistance, Family and Fight Against Hunger, which included ten food groups, but which prioritized a basket with fresh or minimally processed foods.

“Finally, and to help control the price of food, we have made it possible for the Federal Executive Branch to reduce, from now on, federal taxation on all foods included in the basic food basket”, says the justification for the complementary bill filed in the Chamber and presented by the president of the front, Pedro Lupion (PP-PR) and 29 parliamentarians from PP, União Brasil, PL, MDB, Solidariedade and PSD.

The project that deals with the integration of administrative litigation regarding new taxes was also presented this Tuesday, maintaining the role of Carf (Administrative Council for Tax Appeals) to deal with CBS (federal contribution on goods and services).

The IBS Tax Council (state and municipal taxes) will also be created, in addition to the Technical Chamber for the Standardization of the decisions of these two bodies. The text was filed by deputies Adriana Ventura (Novo-SP) and Gilson Marques (Novo-SC).

On another front of friction with the government, deputy Bia Kicis (PL-DF) filed a proposal for a legislative decree to suspend the effects of the decree signed by President Lula with the basic food basket defined by the Ministry of Development and Social Assistance.

According to the parliamentarian, the government published, without consulting the food and beverage sector, a standard that “will define guidelines for government public policies for a period of time”, until the National Basic Basket established by the tax reform comes into effect.