Government seeks support for micro and small businesses.

Government of Rio Grande do Sul - The State Government presented its tax policy to the Minister-Chief of the Secretariat for Micro and Small Enterprises of the Presidency of the Republic, Guilherme Afif Domingos, during a breakfast held by Sebrae this Wednesday (14), in Porto Alegre. The event, which was attended by the State Secretary of Finance, Odir Tonollier and presidents of institutions in the sector, discussed the Brazilian tax issue.

Currently, 95% of existing companies in Brazil are micro or small businesses, generating 55% of the jobs in the sector. Minister Afif's statement is based on the proposal to reduce bureaucracy in the Simples Nacional tax regime, since, according to him, the World Bank ranks Brazil 121st out of 180 nations when measuring the time it takes to open and close businesses.

"The priority that President Dilma Rousseff has set is to implement the SIM Network, an integrated system for opening and closing businesses. The network aims to place Brazil among the 30 nations that most support entrepreneurship," said the minister. "The Simples system should be uncomplicated, understood by the size of the company and not by its segment. If the revenue is up to R$ 3,6 million, it qualifies for Simples," he emphasized.

The minister did not address the issue of charging different interstate tax rates in his statement, but revealed to journalists that it is part of the fiscal war, in which states sometimes encourage and sometimes defend themselves. "At the federal level, we seek to look at the homogeneity of the system. There has to be a solution to the fiscal war, because it is not possible for a company to coexist with 27 different legislations," he said.

Simples Gaúcho exempts 240 companies.

The Secretary of Finance, Odir Tonollier, said that the State is open to productive, constructive, and civilized dialogue. "It's industry, commerce, and the Government together representing all the necessary support for small and micro-enterprises in Rio Grande do Sul. I dare say that we have the most advanced support systems for small and micro-enterprises, with the lowest tax burdens, and an increase in the number of companies opting for the Simples Gaúcho [simplified tax regime for small businesses in Rio Grande do Sul]."

Today, the state grants exemptions to approximately 90% of the 271 companies that opted for the Simples Gaúcho tax regime. "The range was extended so that only 30 actually pay the ICMS (state sales tax)," said Tonollier, emphasizing that while the Simples Nacional (national simplified tax regime) charges up to 3,95%, in Rio Grande do Sul the maximum rate is 3,80%. "Businesses with revenue up to R$ 360 are exempt, which means that 240 companies in Rio Grande do Sul affected by the ICMS are also exempt," he stated.

Tonollier highlighted that, from 2008 to the present, all Brazilian states have increased their revenue in the sector. Rio Grande do Sul was the only state that, during this period, reduced the collection of ICMS (Value-Added Tax) from companies under the Simples Nacional (Simplified Tax Regime), by 15,7%. This is due to the effect of the "Simples Gaúcho" (Simplified Tax Regime for Rio Grande do Sul), which practically halved the taxation (estimated at R$ 900 million). "In 2008, we had 230 companies, and today we have 271, and this number grows every year," he emphasized. "We showed the minister that our policy is different; the 'Simples Gaúcho' reduces by half the taxation charged in other states," added the secretary.

The president of Sebrae and the Federation of Chambers of Retail Leaders of Rio Grande do Sul, Vitor Augusto Koch, said that the debate should be constructive and open. "Together we will make Rio Grande do Sul a leading state. Industry, services, and agribusiness are united and seeking the development of Rio Grande do Sul," he stated, affirming that the State Government is demonstrating a willingness to address and understand the difficulties faced by the retail sector in the state.

Participants in the debate included representatives from Sebrae, Fecomercio, Fiergs, Federasul, Senai, state deputies, the president of the Parliamentary Front for Micro and Small Businesses, José Esperotto; and the State Secretaries of Administration and Human Resources, Alessandro Barcellos; of the Mayors' Office, Afonso Motta; and of Solidarity Economy and Support for Micro and Small Businesses, Maurício Dziedricki.