Haddad says income tax reform is "ripe" and defends a "minimum tax" as compensation.
Finance Minister affirms that exemption up to R$ 5 will be honored and predicts a minimum tax of 10% on the super-rich.
247 - Finance Minister Fernando Haddad (PT) said on Monday (29) that the Income Tax reform is in an advanced stage of discussion in the National Congress. The statements were made during an event promoted by Itaú, in São Paulo.
According to Haddad, the government's proposal has already been positively received by parliamentarians and other sectors involved. "The discussion is mature in Congress. The Chamber and the Senate are still coming to an agreement, but the proposal made by the government has been understood and well received by the actors in general," said the minister.
Exemption promised by Lula
Haddad highlighted that the income tax exemption up to R$ 5, a campaign promise of President Luiz Inácio Lula da Silva, will be implemented. "The idea of exempting up to R$ 5 is an old one. President Lula decided, as always, to fulfill his campaign promise," he stated.
Compensation with minimum tax
The minister also presented a measure considered "promising" to offset the loss of revenue resulting from the exemption: the creation of a minimum tax on high incomes that are currently not taxed.
“The idea that emerged in the Ministry to compensate seems promising to me. The idea of a minimum income tax in the country. People with a high income, given the socioeconomic conditions in Brazil, which is not taxed, will now face a minimum tax of 10%. It is a tax that takes into account the tax paid by the legal entity,” Haddad explained.
The proposal seeks to ensure greater tax fairness, preventing high-income individuals from completely escaping taxes, while maintaining the commitment to expanding the exemption bracket for workers.
