Motta promises to vote on the fiscal package next week, but urges the government to speed up budget implementation.
Speaker of the House promises to vote on a project that could generate R$25 billion and pressures the government to release funds.
247 - The Speaker of the Chamber of Deputies, Hugo Motta (Republicanos-PB), stated that he intends to vote next week on the spending cut bill that will be submitted by the Presidential Palace. This initiative is part of a set of fiscal measures aimed at balancing public accounts.
According to the g1Motta took advantage of a meeting with the Minister of Institutional Relations, Gleisi Hoffmann, to request speed in the execution of the Union Budget. According to him, there are resources held back at the end of the year, which has hindered the release of funds from parliamentary amendments.
Fiscal package expected to generate R$ 25 billion.
The plan being negotiated between the Executive and Legislative branches includes two bills and a provisional measure (MP), all with content similar to the bill aimed at cutting expenses and closing loopholes in the compensation of PIS and Cofins credits.
The government estimates it will bolster its coffers by R$ 25 billion, with R$ 15 billion coming from spending cuts and R$ 10 billion from correcting tax distortions.
The proposed spending cuts should be attached to a bill that is already being processed urgently — among them, the one that makes the counterfeiting of beverages a heinous crime. According to Gleisi, the provisional measure will have immediate effect, but will be withdrawn after the final approval of the text in Congress.
New taxes and resistance in the Chamber
Another bill is expected to be submitted under urgent procedure to increase taxation on online betting, fintechs, and interest on equity. This part of the package is considered more controversial and is likely to face resistance in the Chamber of Deputies.
According to leaders of the government's base, the tax increase on betting should be more accepted, while changes involving fintechs and companies' equity should generate greater opposition.
Government promises to release funds after vote.
In exchange for the Chamber's support, the government assured Hugo Motta that, with the enactment of the spending cut provisional measure, it will be possible to accelerate the execution of the budget this year. The measure seeks to prevent further freezes and budget cuts starting in November.
