By 403 votes, the Chamber of Deputies withdrew from the tax reform the proposal that allowed states to tax the inheritance of contributions to private pension plans. The taxation was included in the second complementary bill that regulates the tax reform.
With the rejection of the highlight, the Chamber concluded the vote, and the text goes to the Senate. Initially, the proposal was included in the draft of the complementary bill, which regulates the future Goods and Services Tax Management Committee (IBS). Included at the request of the states, it was presented at a press conference at the Ministry of Finance, but the item was not sent to Congress by decision of President Luiz Inácio Lula da Silva after negative repercussions.
In Congress, however, the text’s rapporteur, deputy Mauro Benevides (PDT-CE), resumed the taxation of inheritances transmitted through a private pension plan. While the original proposal provided for the collection of Causa Mortis Transmission Tax (ITCMD), a tax administered by the states, for all supplementary pension plans, Benevides restricted the incidence to Free Benefit Generating Life (VGBL) type plans with a term of less than five years.
In August, the Chamber approved the basic text of the project with taxation, but the text was stalled due to the municipal elections. This Wednesday, the plenary resumed the separate vote on a highlight that intended to overturn the taxation. The withdrawal occurred through an agreement between the deputies. Benevides proposed an amendment to remove the charge in exchange for removing the other highlights from the text.
Before the consideration of the highlight in plenary this Wednesday (30), Benevides presented an amendment proposing the removal of the section that dealt with the collection of ITCMD (Tax on Transmission Causa Mortis and Donation of Any Goods or Rights) on pension plans .
With the agreement, the amendment was approved by 403 votes, and the other highlights were dropped, rejected or withdrawn. Among the highlights taken down was one from PSOL that sought to institute a Tax on Great Fortunes (IGF).
Uniformization
Originally, the states wanted to standardize the collection of ITCMD on private pension plans. Currently, each state defines the rates and rules, but taxation faces challenges in court.
After an addition by Benevides to the amendment, the ITCMD will also not apply to corporate acts that “result in disproportionate benefits” for a partner or shareholder of a company without a business justification that can be proven. Exempt operations include the disproportionate distribution of dividends and operations that result in the transfer of share control from a person about to die to another in the same family.
