Tax reform was imposed because Brazil could no longer live with delays, says Pacheco

The president of the Senate, Rodrigo Pacheco (PSD-MG), stated this Wednesday (8) that the tax reform “was imposed because Brazil could no longer live with the delay”. After approval in the Senate, by 53 votes to 24, Pacheco defended that PEC 45/2019 represents a “crucial initiative” to simplify taxes in Brazil.

“The tax reform was imposed because there was no longer any way to postpone it. The reform was imposed because Brazil could no longer live with the delay… The maturing of the debate was fundamental for the population, companies, federated entities and public agents could understand the need for reform”, he said.

“It was not a simple task to build the trust and majority necessary for this change in the Brazilian tax system, but we were able to overcome the uncertainties and difficulties of the process and assert democratic principles”, he highlighted.

Pacheco highlighted that the transparency of the new system has the potential to leverage the attraction of foreign investment, to boost economic development and job creation. “In addition, fairer and more equitable taxation will contribute to reducing social inequalities and promoting a more equitable economic environment for all citizens,” he said.

Also after approval, the text’s rapporteur, Eduardo Braga (MDB-AM), spoke about the path the PEC took in the 120 days it was in the Senate, in a discussion that involved members of the government and various sectors heard in public hearings. on the topic, informed the Senate Agency.

“The day has come to write a new page in our history. It was not easy to get here. Many tried and ended up frustrated during the last four decades. If we can, today, take another important step towards delivering a new tax system to the country, be certain that this will not be an achievement of a single person or a single government, but a victory for Brazilian Democracy”, said the rapporteur.

Having approved the reform in the Senate, the main doubt now is the future that the text will have in the Chamber of Deputies and the possibility of “slicing” the text for promulgation. With slicing, points of consensus between the two Houses can be promulgated, while disagreements are broken down and become part of a new proposal. In recent interviews, the president of the Chamber, Arthur Lira (PP-AL), has already admitted that the proposal can be sliced.