government publishes MP on the end of exemption

After the announcement of the economic measures, the federal government published this Friday (29), in a special edition of the Official Gazette of the Union (DOU), provisional measure (MP) 1202 containing a set of actions to try to achieve zero deficit in 2024 The legislation provides for the end of payroll tax relief in 17 labor-intensive sectors.

The provisional measure is effective immediately, but the government stipulated a period of 90 days for companies to can plan to pay the new amounts. The text also needs to be analyzed by Congress, which should occur upon the return of the parliamentary recess, starting in February.

According to the MP, the percentage will rise from 10% and 15% (depending on the activity carried out) in 2024, rising to 17.5% and 18.75% in the last year of validity (2027). From then on, everyone would pay 20% again.

Differentiation by groups of activities

The rates will be differentiated and divided into two groups of activities. The first will have lower percentages, starting with 10%, and the second, with 15%.

The first group includes companies from the following fields of activity:

• Rail freight transport
• Metro rail passenger transport
• Public road transport of passengers, with a fixed itinerary, municipally and in metropolitan areas
• Collective road transport of passengers, with fixed itinerary, intercity, interstate and international
• Taxi road transport
• School bus
• Collective road transport of passengers, under charter, and other road transport not previously specified
• Road freight transport
• Pipeline transport
• Radio activities
• Open television activities
• Programmers and activities related to pay television
• Development of custom computer programs
• Development and licensing of customizable computer programs
• Development and licensing of non-customizable computer programs
• Consulting in information technology
• Technical support, maintenance and other information technology services

The rates applicable to the payroll will be as follows:

• 10% in 2024;
• 12.5% ​​in 2025;
• 15% in 2026;
• 17.5% in 2027.
• 20% in 2028.

The second group brings together the following activities:

• Tanning and other leather preparations
• Manufacture of travel items, bags and similar materials from any material
• Manufacture of leather goods not otherwise specified
• Leather shoe manufacturing
• Manufacture of sneakers from any material
• Manufacture of synthetic material footwear
• Manufacture of footwear from materials not previously specified
• Manufacture of parts for shoes, from any material
• Construction of highways and railways
• Construction of special works of art; Urbanization works – streets, squares and sidewalks
• Works for the generation and distribution of electrical energy and telecommunications
• Construction of water supply networks, sewage collection and related constructions
• Construction of pipeline transport networks, except for water and sewage
• Port, maritime and river works
• Assembly of industrial installations and metallic structures
• Civil engineering works not previously specified
• Book publishing
• Newspaper editing
• Magazine publishing
• Editing integrated with book printing
• Editing integrated with newspaper printing
• Editing integrated with magazine printing
• Editing integrated with the printing of records, lists and other graphic products
• Business management consultancy activities

The rates applicable to the payroll are now:

• 15% in 2024;
• 16.25% in 2025;
• 17.5% in 2026;
• 18.75% in 2027.
• 20% in 2028

According to the Treasury, the differentiated rates will not be applied to the entire payroll, but only to the amount corresponding to a minimum wage. Thus, for a worker who earns R$2,000, for example, the company may have R$1,412 taxed at 10% and the remainder at 20%.

In order for the company to obtain the differentiated rates, the text provides that the companies must sign an agreement in which they will commit to maintaining, in their workforce, a number of employees equal to or greater than that verified on January 1st of each year.

Read the content of the MP at this link