Tax Reform: Agricultural Parliamentary Front Asks for Government’s Attention and Support

On Last Tuesday (28), the Agricultural Parliamentary Front (FPA) Faced Challenges When Receiving the Rapporteur of the Tax Reform Working Group, Deputy Aguinaldo Ribeiro (PP-PB).

In a meeting at the headquarters of the Confederation of Agriculture and Livestock of Brazil (CNA), the members discussed the Proposed Amendment to the Constitution. The president of the FPA, Deputy Pedro Lupion (PP-PR), emphasized the need to maintain balance to simplify the Tax Reform system without harming the Brazilian agricultural sector. 

Lupion also highlighted that the United Nations (UN) has data on 8 billion people to be fed worldwide and that, “Brazil is the only country that can triple production to ensure food security.” He further warned about treating agribusiness “in a technical manner, not an ideological one.” However, he reminded that “we are taxed throughout the entire production chain,” thus disproving the nicknames of “subtaxation” that many attribute to him.

Deputies and representatives of the agricultural sector gathered to discuss the Tax Reform. The president of the Chamber, Arthur Lira (PP-AL), created a working group of 12 members to discuss the topic and hear the concerns of the agribusiness sector. “It is necessary to have a text that represents the majority opinion of the House,” said the group’s rapporteur, Deputy Aguinaldo Ribeiro (PP-PB). “We will not achieve unanimity,” he added. 

The agricultural sector accounts for one-third of the national GDP, 25% of jobs, and the majority of the country’s exports. Therefore, it is essential that it is duly considered in the Tax Reform. 

The president of the Confederation of Agriculture and Livestock of Brazil (CNA), João Martins, stated that the agribusiness needs to be respected and heard. “We need a simple, transparent, and fair proposal that allows for job and income generation,” he stressed. 

Thus, the Proposed Amendment to the Constitution (PEC) 45, authored by Deputy Baleia Rossi (MDB-SP), which creates a single tax on goods and services, was also discussed. These proposals will be evaluated by the working group over the next 90 days.

Tax Reform: Rapporteur Comments on Maintaining the Current System to Achieve Greater Consensus

The rapporteur of the Tax Reform in the Chamber of Deputies, Aguinaldo Ribeiro, warned the members of the Working Group about pressures they will receive from various sectors. While speaking at the first meeting of the committee, he stressed that there are private interests that must be considered when drafting a text that meets the needs of the country. “If it’s to meet everyone, it’s better to leave it as it is,” he advised.

Ribeiro further pointed out that the tax system is entirely opaque and needs to be simplified to ensure tax justice and transparency. “If we want a reform with impact, we need to build a text of change,” he explained. Finally, he reminded the present deputies of the necessity to prepare themselves because many people will seek them out. “Each one here will be approached by many people,” he concluded.

Tax Reform Will Have the Effect That the Real Had, Says Baleia Rossi