The Minister of Labor and Employment, Luiz Marinho.| Photo: José Cruz/Agência Brasil.

The Minister of Labor, Luiz Marinho, confirmed this Friday (28) that the federal government will expand the range of exemption from Income Tax for Individuals (IRPF) for those who earn up to R$ 2,640. Today, the exemption range is up to R$ 1,900. The measure should take effect from May 1.

“There is a commitment by President Lula, throughout his term, to exempt salaries of up to R$5,000 from the Income Tax table. As a first step, salaries of up to R$2,640 will not be withheld from the Income Tax payroll. Income”, said Marinho during an event in Planalto.

The minister also reaffirmed that he will send to Congress a proposal for a policy to increase the value of the minimum wage, which should be guided by a combination of inflation correction, considering the National Consumer Price Index (INPC), plus the percentage change in GDP of two years prior to the readjustment. According to Marinho, Lula is going to issue a Provisional Measure (MP) to formalize the new minimum wage amount at R$ 1,320, which will come into effect from May 1st.