Treasury defends veto to renewal of payroll exemptions – 07/01/2023 – Panel SA

Treasury Secretary Rogério Ceron told the column that payroll exemptions for 17 sectors of the economy cannot be renewed through a bill.

“The Treasury’s position is the same as that of the Federal Revenue, that the Constitution forbade renewal”, said Ceron.

Commanded by Fernando Haddad, the Ministry of Finance recommends the veto, because the exemptions were granted by Constitutional Amendment with a defined period.

Behind the scenes, the folder assesses that there is no room for sanctioning the proposal and that, if it occurs, it will lead to judicialization.

Recently, Haddad stated that the government must present [ao Congresso] an “other way” [de renovar as desonerações].

“We are preparing a proposal to be forwarded in the second half of the year,” said the minister.

In the current format, the benefit includes 17 segments and is guaranteed to last until December 31, 2023. The project wants to extend this period until the end of 2027.

The potential impact on the accounts is at least R$ 9.4 billion, something that, in the portfolio’s assessment, undermines the targets defined by the fiscal framework.

The measure passed the CAE (Commission on Economic Affairs) in the Senate in mid-June, in a setback for the economic team. Parliamentarians defend the project for the maintenance of jobs.

With Diego Felix

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