Government withdraws urgency from the project that reburdens the payroll of 17 sectors of the economy

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The topic was included in a provisional measure at the end of December, but parliamentarians reacted and pointed out a risk to jobs. Now, Congress will have more time to debate. The federal government sent to the Chamber of Deputies, this Thursday (11), the withdrawal of the urgent request for the bill that attempts to reestablish payroll taxation in 17 sectors of the economy. The return of the collection of these taxes was included in a provisional measure at the end of December, but there was a negative reaction from parliamentarians and businesspeople. As a result, at the end of February, the Luiz Inácio Lula da Silva government “transferred” the issue to a bill – which, unlike a provisional measure, has no effect during processing. The project, however, had been sent with constitutional urgency, which also gave the Chamber and Senate a deadline to analyze the text. Starting next week, the project would be blocked from the Chamber’s plenary voting agenda until it was voted on. The text, which needs to go through three commissions, has not even started processing yet. Rapporteur of the project that extended the exemption until 2027 last year, deputy Any Ortiz (Cidadania-RS) met with the Minister of Finance, Fernando Haddad, this Wednesday (10) to discuss the issue. To GloboNews, Any said that the withdrawal of urgency is a “signal from the government”. “[…] It’s a way of saying that the government then understands that this issue has already been decided, it has already been debated in Congress, and that it would be very difficult for Congress to change its understanding, especially a few months later”, he declared. “In the first two months alone, the sectors hired with a formal contract, that is, formal work, more than 150 thousand workers. The salary, the salary comparison between the burdened sectors and the unburdened sectors has a difference. Salaries are higher in unburdened sectors, because the employer’s social security contribution is not on the worker’s salary”, said Any Ortiz. Lula revokes sections of MP that reburdened the payroll Public accounts The resumption of taxation on the payroll was included in the original provisional measure, at the end of December, as an idea from the economic area. According to the Minister of Finance, Fernando Haddad, the measure would help the government to achieve the goal of zero deficit in public accounts – that is, to stop the escalation of debt public and spend, in 2024, only what the government collected. In practice, however, the re-encumbrance increases the cost of employment in 17 labor-intensive sectors of the economy, such as civil construction, passenger transport and the textile industry. resumption of taxation also goes against the decision, taken by Congress itself in 2023, to extend the exemption of these sectors until 2027. The rule has been renewed since 2012. The Chamber and Senate approved a law with this extension, which was vetoed in full by President Luiz Inácio Lula da Silva. Then, Congress overturned the veto – that is, it reestablished the extension of the exemption until 2027. By editing the MP and the bill, in practice, the government tries to overturn the parliamentarians’ decision to extend the rule for a second time. Government cancels payroll tax collection for 17 sectors

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