The basic text of the tax reform regulation (PLP 68/2024) was approved on Wednesday night (11) by the Constitution and Justice Committee (CCJ) of the Senate. The highlights are subsequently debated by the senators. The project’s rapporteur, Eduardo Braga (MDB-AM), welcomed more than 600 of the 2,165 amendments presented by the senators.
With approval, the complementary bill will go to the plenary. The topic is scheduled to be voted on this Thursday (12).
The project creates the rules for Value Added Tax (VAT), replacing five taxes (ICMS, IPI, ISS, PIS and Cofins) with three, which are the following: Contribution on Goods and Services (CBS, level federal), the Tax on Goods and Services (IBS, at state and municipal level), and Selective Tax (federal).
At the CCJ meeting, which lasted until this Wednesday night, CCJ parliamentarians sought to ensure that amendments not included could be reviewed by the rapporteur.
If approved this Thursday in the Senate Plenary, the regulatory project will return for a vote in the Chamber of Deputies. The rapporteur previously said that he had already spoken with the president of the Chamber, Arthur Lira (PP-AL), who would also have welcomed the text with the rules for the reform.
“I explained the text to the president [da Câmara] Arthur Lira and also to the president [do Senado] Rodrigo Pacheco. I also explained to the Chamber rapporteurs (…) I sincerely hope that we have managed to build an environment different from other circumstances”, stated Senator Eduardo Braga, who expressed optimism for approval in the plenary sessions of both legislative Houses.
The rapporteur highlighted that, when analyzing the amendments, special attention was paid to not harm educational funding. “If there was one topic that, in our report, had absolute priority, it was the issue of education, since 100% of the grants that companies will give for education are exempt from tax”.
Changes
Eduardo Braga guaranteed that at least 17 of 145 amendments presented by senators were approved after the report was delivered on Monday (9).
Among the changes approved at the meeting, the rapporteur approved amendments that provide for the temporary suspension of IBS and CBS in the supply of agricultural products in nature intended for industrialization for export.
There was also a decision on fuel rates, which must be approved by the Ministry of Finance and the tax Management Committee. “The calculations for setting the rates will be carried out, for CBS, by the Special Secretariat of the Federal Revenue of Brazil and, for IBS, by the IBS Management Committee, with data provided by federated entities”, highlighted Eduardo Braga’s report.
The rapporteur also indicated that he accepted the request for taxation from Football Limited Companies (SAFs). “Thus, the rate for unified taxes, including CBS and IBS, is now 5% (previously it was 8.5%)”. Revenues from the transfer of athletes’ sporting rights and the transfer of athletes were excluded from taxation for five years.
Regarding the basic food basket, Senator Eduardo Braga accepted the need to make adjustments to the description of French bread for tax exemption. In the health sector, diabetes medicines were also included in the exemption list.
“We added medicines related to the diabetes mellitus line of care among those benefiting with zero rates from IBS and CBS.”
