Tax Reform: Senate Wants to Debate Regulation in Committees; Braga to Be Rapporteur | Politics

The first bill regulating the tax reform reached the Senate on Thursday (11). During this morning's meeting between party leaders and Senate President Rodrigo Pacheco (PSD-MG), there was Consensus to urgently suspend proceedings in the Council.

The text approved by the Chamber contains a series of additional rules based on the tax reform, which has already been approved and will be released at the end of 2023. Together, the texts should reshape the way taxes are currently imposed in the country for all sectors: households, companies, industries and rural producers.

After the leaders' meeting, Rodrigo Pacheco announced in the plenary session that the rapporteur would be Senator Eduardo Braga. Braga was also rapporteur of the text of the proposed amendment to the Constitution (PEC) for tax reform, which was approved at the end of last year.

Braga stressed the request not to deal with the bill, which will now pass through the Senate urgently.

“I thank you once again for the trust you have placed in my work. As Rapporteur for the Regulation of Tax Reform, I have appealed to President Rodrigo Pacheco that the text approved by the Council yesterday not continue in view of the constitutional necessity. So that we can create a calendar that allows for public hearings and listening to the various segments.”

Without urgent treatment, Tax reform should be postponed until the second half of the year.This is contrary to the government's initial desire to approve the agenda in both councils before the end of the first semester.

In a press conference, Braga said the bill would be reviewed by the Senate's Constitution, Justice and Citizenship Committee before being presented to the House of Representatives plenary.

“In the Senate rules, it was decided that this bill would be processed by the Constitution and Justice Committee, and therefore, there would be a rapporteur appointed there, and there would be a work plan that would be presented, and therefore all senators of the Republic, members and not members of the Constitution and Justice Committee, would participate in it,” the parliamentarian said.

Senators appreciate that. Some amendments must be made to the text compared to what was approved by the representatives. As a result, the tax reform bill still needs to go back for a fresh analysis by the House after Senate approval.

“There is no doubt that we have questions about what the Chamber has approved, whether regarding the Manaus Free Trade Zone, issues in the Northeast and different sectors of Brazilian politics. All of this will be widely discussed, published in advance and transparently so that we can build state tax reform regulations that respond to the desires of the Brazilian people,” said Eduardo Braga.

If this is the same procedure, the project will only go to President Luiz Inacio Lula da Silva (PT) for approval after a new vote in the Council.