CLDF approves Tax Regularization Program

The Legislative Chamber approved the Tax Regularization Incentive Program (Refis); it grants discounts on interest and fines to taxpayers in debt with the government of the Federal District; it is estimated that the Executive will collect approximately R$ 109 million this year; the expectation for the coming years is for an even greater increase in revenue, since many debtors are expected to choose to divide their liabilities.

March 13, 2015, 12:54 PMUpdated July 06, 2018, 14:23 pm

The Legislative Chamber approved the Tax Regularization Incentive Program (Refis); it grants discounts on interest and fines to taxpayers in debt with the government of the Federal District; it is estimated that the Executive will collect approximately R$ 109 million this year; the expectation for the coming years is for an even greater increase in revenue, since many debtors are expected to choose to divide their liabilities (Photo: Leonardo Lucena)

Saulo Araújo, from Agência Brasília - The Legislative Chamber approved, on the afternoon of this Thursday (12), the Tax Regularization Incentive Program (Refis). It grants discounts on interest and fines to taxpayers in debt with the government of the Federal District. With the approval of the 23 parliamentarians present in the House — only Deputy Joe Vale (PDT) did not attend the session — it is estimated that the Executive will collect, still this year, around R$ 109 million. The expectation for the coming years is for an even greater increase in revenue, as many debtors are expected to choose to divide their liabilities.

From now on, those who owe taxes to the government will have the chance to renegotiate with the Treasury Department and reduce interest and penalties on taxes such as Property Tax (IPTU) and Vehicle Property Tax (IPVA) by up to 99%. Those in arrears can divide their debts into up to 120 installments. The greater the number of installments, the smaller the discount.

Before the Refis vote, parliamentarians approved bill number 186, which includes a provision for revenue waiver of R$ 80 million in the Budget Guidelines Law (LDO). This amount corresponds to the discounts foreseen on interest and fines that the Executive Branch will have to forgive.

Amendment

The deputies included an amendment in the bill that treats defaulters and tax evaders differently. The former will be able to pay interest and fines in installments of up to 120 months, while those in the latter group will only be entitled to divide the debts into up to 24 installments.

The Refis program aims to facilitate the tax regularization of taxpayers and, consequently, reduce the amount of outstanding debt in the Federal District, currently estimated at R$ 16 billion. According to the Finance Secretariat, there are almost 60 individuals and 294 companies with some type of outstanding financial obligation to the government.