Payroll exemption for 17 sectors is extended until 2023

The President of the Republic, Jair Bolsonaro, sanctioned the extension until the end of 2023 of the exemption from the payroll of companies in the 17 sectors of the economy that generate the most jobs. The sanction of the bill (PL) 2.541/2021 was published yesterday (31), the date on which the tax benefit would end, in the Federal Official Gazette. The bill was sanctioned in full, without vetoes and is already in force.

The project, approved last december by the Senate, says that benefited companies can choose not to pay the social security contribution calculated on the payroll of 20% on employees’ salaries, and continue to contribute at the rate on gross revenue, which varies from 1% to 4.5%. In theory, the initiative offers a greater incentive for hiring personnel.

The measure benefits companies in collective road and cargo transport, subway and passenger rail, computer companies, integrated circuits, communication technology, the civil construction sector, infrastructure works companies, call center companies, footwear, apparel /clothing, leather, newspapers and media companies.

The legislation also extends the period referring to the increase in the rate of the Social Contribution due by the Importer of Foreign Goods or Services from Abroad (Cofins-Importação).

“The sanctioned project is capable of offering incentives to the benefited sectors for the necessary economic recovery, mainly, in view of the reduction of fiscal burdens borne by employers”, informed the Ministry of Economy.