Tax reform: mayor may change IPTU by decree – 07/07/2023 – Market
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The Chamber of Deputies approved this Friday (7) a highlight of the Tax Reform that allows mayors to change the calculation basis of the IPTU (Tax on Urban Property and Territorial Property) by means of a decree, without having to go through the city council .
According to the text, however, the criteria for updating the calculation base should be established by municipal law.
In a vote in the plenary of the Chamber, the text was maintained by 349 votes in favor (84 deputies were against).
Before, through bills, the mayors did not have support and the update ended up being weakened, according to the president of the CNM (National Confederation of Municipalities), Paulo Roberto Ziulkoski.
“Now we are depending on the mayor, within the mechanism that will be established by law, to update the values plan”, he says.
According to Patricia Fudo, partner at Maluf-Geraigire Advogados, the change is subtle. “To increase the IPTU base by means of a decree, I remove all the bureaucracy from the legislature. Now it will be expressed in the Constitution”, she says.
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