Informação jurídica inteligente
 Brasil | +55 (11) 31 81 77 29

Finance minister sees room for further fuel price cuts

Document Citado por Related
Vincent

Finance Minister Fernando Haddad said on Tuesday that Petrobras has not yet cut fuel prices to the extent it needs to. The room to cut prices again would be a way to offset the return of social taxes Pis/Pasep and Cofins levied on fuels, which is expected for July 1, he said."The price increase planned for July 1 will be absorbed by the [fuel] price reduction left for that day. We did not lower everything we could, we just waited for July 1st, when the export tax ends and taxes fully return. And that is fine. As it will happen with diesel at the end of the year, which already left some fat to accommodate the return of taxes", he said in an audience at the Chamber of Deputies a day after the state-owned company announced its new pricing policy.According to Mr. Haddad, "Petrobras has made it clear that it will look at the international price." But he also said that "in a more favorable situation like now, when the price of oil has fallen but the exchange rate has also fallen, the company can combine the two factors and resume taxes without impacting the prices at the pumps."Mr. Haddad advocated one more time cutting a quarter of federal tax expenditures that would fall on "inappropriate benefits." In total, the Ministry of Finance estimates that tax breaks amount to nearly R$600 billion, and the government is counting on higher revenue to prop up its fiscal plan."We should think about making tax benefits granted transparent," he said, adding that it is possible to know who is receiving the benefit through cash-transfer program Bolsa Familia’s records. However, tax expenditures, he said, are "hidden" in the budget. "We are discussing with Federal Comptroller General’s Office (CGU) to open this data," he said.Mr. Haddad recalled that there is a constitutional amendment that establishes the end of half of the tax benefits in eight years. The proposal was passed during the Bolsonaro administration. "Why can’t we cut a quarter of these benefits and make ends meet in the budget?" he asked.Some...

Para continuar a ler

PEÇA SUA AVALIAÇÃO

VLEX uses login cookies to provide you with a better browsing experience. If you click on 'Accept' or continue browsing this site we consider that you accept our cookie policy. ACCEPT