Lula announces a minimum of BRL 1,320 and exemption from IR of BRL 2,640 – 02/16/2023 – Market

President Luiz Inácio Lula da Silva (PT) announced this Thursday (16) that the minimum wage will be R$1,320 and that the Income Tax exemption will rise to R$2,640 – which corresponds to two minimum wages . Lula also said that the exemption range will be progressively increased.

“It is my commitment with the Brazilian people, which we are going to agree with the union movement, it is agreed with the Ministry of Labor, it is agreed with Minister Haddad, which we will readjust in May to R$ 1,320 and establish a new rule for the minimum wage, which we already had in my first term,” he said in an interview with CNN.

“The minimum wage will have, in addition to inflationary replacement, GDP growth, because it is the fairest way for you to distribute economic growth. It is no use for GDP to grow 14% and you do not distribute it. It is important that it grows 5% , 6%, 7% and you distribute it to society. We will increase the minimum wage every year according to inflation, it will be reset, and GDP growth will be put into the minimum wage”, he added.

The entirety of the interview will air at 6 pm this Thursday (16), but the broadcaster has started to release some small excerpts.

The values ​​released by Lula were already known and mentioned, but it was the first time that the president assertively stated that these will be the numbers adopted.

“It will start from now, we will start exempting from R$ 2,640 and then we will gradually reach R$ 5,000 of exemption”, he added.