Lawmakers use tablet bill to propose tax exemptions for other sectors.
The provisional measure that encourages the manufacture of the product in Brazil could be completely distorted by amendments; the government initiative was even called "unconstitutional" by the governor of Amazonas, Omar Aziz.
Agência Brasil – Provisional Measure (MP) No. 534, issued by the federal government on May 20 to encourage tablet production in Brazil, could be completely altered in the National Congress, according to some of the 68 amendments presented to the text.
The government initiative aims to attract foreign manufacturers through tax incentives and to force the nationalization of electronic components in the industry, whose technological expertise is considered strategic in the so-called "knowledge economy".
Among the amendments proposed by parliamentarians are proposals such as that of Deputy Alceu Moreira (PMDB-RS), who wants, through the Provisional Measure, to extend discounts on the Contribution for Social Security Financing (Cofins) and the Social Integration Program (PIS), provided for in Law 11.051/2004, to tourism and leisure cooperatives, passenger transport, mining, education, health, consumption, production, labor, and housing.
Senator Inácio Arruda (PCdoB–CE) wants to reduce the incidence of the Tax on Industrialized Products (IPI) for the production of carnauba wax, natural honey, flowers, plants and mineral water - "all included in our export agenda," he explains in the justification for Amendment No. 35.
In Amendment No. 44, Representative Oziel Oliveira (PDT-BA) proposes the creation of measures to encourage the settlement or renegotiation of debts originating from rural credit operations registered in the Federal Government's Active Debt. Senator Valdir Raupp (PMDB-RO) is attempting, through the Tablet Provisional Measure, to extend for 30 years the benefits and exemptions of the Guajará-Mirim Free Trade Area, a city in the interior of Rondônia, which expire in 2016.
In addition to amendments unrelated to the purpose of the provisional measure, there are those that aim to include other equipment in the MP, such as cell phones with internet access, e-book readers, and programmable graphing calculators, used for more complex calculations. Other amendments attempt to create better purchasing conditions for students, teachers, and even security agencies, as suggested by Congressman Alfredo Kaefer (PSDB-PR) in Amendment No. 59.
Almost half of the amendments presented (33) were made by parliamentarians from Amazonas. There is a fear among politicians in the state that Provisional Measure No. 534 will create competition against the Manaus Free Trade Zone. Shortly after the measure was issued, the governor of Amazonas, Omar Aziz, said that the federal government's initiative was unconstitutional.
The proposed amendments are available on the Chamber of Deputies website. The proposal is being processed under urgent procedure and should have been voted on by June 19th. No rapporteur has been chosen for the matter, which will be voted on directly in plenary session.