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A new taxation proposal takes shape, promising to impact oil and mineral extraction, while aiming to optimize tax collection.
In Brasília, an audacious proposal for tax reform presented by Eduardo Braga (MDB/AM) on October 25th ended up standing out. The document proposes the collection of selective tax on ore production, oil and natural gas, Soon after, the ANP director predicts an increase in production of these commodities by 2025.
Establishing a maximum rate of 1% aimed at extraction activities from non-renewable sources, the proposal also offers exemptions for other sectors, such as electricity and communications.
Additionally, the new structure of tax includes benefits for low-income consumers, allowing discounts on electricity bill taxes. This measure aligns with current practices related to ICMS, a progressive tax.
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Objectives of the Reform
The reform mainly seeks to limit activities that could be harmful to the environment. The imposition of the tax on extraction activities aims to inhibit the rampant use of non-renewable resources, regardless of whether they are destined for the domestic or foreign market.
In broader terms, the reform aims to simplify the tax system, unifying several federal imposts and state taxes on two new value added taxes (VAT). This new selective tax will serve to replace the IPI, playing a role in regulating the market and helping to increase revenue for states and municipalities.
Challenges and criticisms of the proposal
Within the Constitution and Justice Commission (CCJ), there are discussions about the implementation of a tax of up to 1% on commodities. The proposed charging method is based on the specific value of the quantity of product extracted, without considering sales revenue. If approved, this charging structure will require detailed regulation by the National Congress.
Another notable point is the growth in the list of proposed exemptions. While sectors such as agribusiness benefit from substantial discounts, critics argue that the tax burden on oil and gas can result in inflationary pressures, impacting fuel prices. Roberto Ardenghy, president of IBP, expressed concerns about the new taxation, mentioning possible adverse effects on the productive sector.
The debate over the constitutional text is also heated. There is uncertainty as to whether the proposal will, in fact, be approved, given the complexity and potential impacts on different sectors of the economy.
In conclusion, the proposal presented by Eduardo Braga brings a series of changes that could reformulate the Brazilian tax system, influencing the production and commercialization of key commodities, such as oil e ore. The future of this reform depends on broad debates and analyzes in the Senate.
information via EPBR.
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