Provisional measure published that eliminates PIS and Cofins taxes on transportation.
The measure had already been confirmed by the Finance Minister, Guido Mantega, in yet another government initiative to combat inflation and ease the burden on those who need to use public transportation; starting this month, bus fares will increase in at least two capital cities.
Daniel Lima*
Reporter from Agência Brasil
Brasilia - The Official Gazette of the Union published in an extra edition Provisional Measure 617, which eliminates the rates of the Social Integration Program (PIS) and the Contribution for the Financing of Social Security (Cofins) paid by urban public transport companies.
The measure had already been confirmed by the Finance Minister, Guido Mantega, in yet another government initiative to combat inflation and ease the burden on those who need to use public transportation. "The removal of PIS/Cofins taxes from bus fares is confirmed," Mantega said on the 23rd upon arriving at the Ministry of Finance.
The government's intention is that the measure will help municipalities make smaller adjustments to public transportation fares.
Starting this month, bus fares will increase in at least two capitals. In São Paulo, the price will reach R$ 3,20 starting tomorrow (2). According to information from the city hall, the 6,67% readjustment is below the accumulated inflation since January 2011, when the current fare of R$ 3 came into effect.
In the city of Rio, the new fare of R$ 2,95 for urban buses is in effect from today (1st) - until yesterday (31), the value was R$ 2,75. Last month, Mayor Eduardo Paes had already announced the intention to readjust the transport fares in the city.
* Contributed by Alana Granda
Editing: Lílian Beraldo