According to Minister Alexandre Padilha, the exemption from federal taxes on gasoline and alcohol will not be extended after the closure, which takes place on February 28

The government had instituted the Provisional Measure (MP) for exemption from federal taxes on gasoline and alcohol and the closure will take place on the 28th of February, after 60 days of validity. According to the words of Padilha, Chief Minister of the Secretariat for International Relations, there is no intention for the MP to be extended.

The topic of exemption from federal taxes on gasoline and alcohol was raised in a conversation with journalists during the inauguration of the Super Centro Carioca de Vacinação, in Botafogo, Rio de Janeiro. As the deadline for closing the Provisional Measure is close, the doubt is a reflection of the thoughts of several Brazilians about the government's next steps and was justified by Padilha later in the same speech.

Minister Alexandre Padilha took the opportunity to talk about other actions developed to help poorer families

When questioned, Padilha said that “At this moment in the government there is no discussion of extension, of changing these deadlines”, referring to the MP instituted in December 2022. increasingly unlikely to think of an extension, as the act would require prior planning, which does not seem to be the case.

However, the Minister also made a point of saying that the debate regarding the exemption of federal taxes on gasoline and alcohol is not completely closed.

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For him, it is still possible that the issue will be taken to the National Congress for a broader analysis of the effects it may have on the population.

Added to this, Padilha also took the opportunity to remind that the rates of PIS/Pasep and Cofins, levied on diesel oil, biodiesel and liquefied petroleum gas (LPG), will remain zero until the end of 2023, on December 31st.

The long-term decision was taken as a way to guarantee greater freedom for individuals and families in low income conditions, who need to travel frequently.

The effect is also felt in other areas of life, such as the price of food, for example.

In speech, Padilha says: "This measure has a greater impact on the poorest families, on food inflation and on the entire production chain", reinforcing that, despite the closure of the MP, scheduled to take place in February, other parallel actions continue to take place to promote the well-being of Brazilians.

Padilha talks about moves made by other government ministers to build solutions for citizens, about finalizing the MP on gasoline and alcohol

Continuing his speech, Padilha also mentioned the Finance Minister of the Lula government, Fernando Haddad, and his endeavor to build an agreement in relation to ICMS, the Tax on Circulation of Goods and Services.

The mission involves conversations with the leaders of each state in Brazil regarding the law approved in Congress, which reduces the rate to 17%, since last year, resulting in commercial consequences, such as the collection of each state.

For Padilha, Haddad's action is a way to build a way out for Brazilians and is already being developed by the Minister of Finance.

The process can be time-consuming, considering that it requires multiple articulations in each part of the country, but it aims to balance society's well-being and keep the market growing at the same time.

The extension of the exemption from federal taxes on gasoline and alcohol would be an attitude that could contribute to this same purpose, after the end of the Provisional Measure, but Padilha was emphatic in saying that the government still has no plans to ratify this decision. Therefore, it is expected to expire on the 28th of February.