Along with the start of the legislative year, last Wednesday (2nd), Congress began to move around proposals to reduce fuel taxes. Two PECs (Proposed Amendment to the Constitution) on the subject are about to be processed in the Legislative Houses.
The PECs have different procedures and need the support of at least 171 deputies or 27 senators (1/3 of the House in which they are presented). In both houses, the authors are in the phase of collecting signatures so that they begin to process officially.
In the Chamber, deputy Christino Áureo (PP-RJ), with the support of the Planalto leadership, made public the text of a PEC on fuel. In the Senate, another PEC was presented by Senator Carlos Fávaro (PSD-MT), an ally of the president of the House, Rodrigo Pacheco (PSD-MG).
Before the mobilization around the PECs, two other projects were already being processed in Congress to try to contain the rise in fuel prices: PL 1,472/21 — which, among other measures, creates a Fuel Price Stabilization Fund and institutes an export tax on crude oil — and PLP 11/2020, already approved in the Chamber, which amends the Kandir Law, to provide for the tax substitution of ICMS for Interstate and Intermunicipal Transport in fuel operations.
The arrival of the PECs messed up the discussion around the increase in fuel prices, which has already been publicly addressed by President Jair Bolsonaro since the beginning of the year. In the president’s last statements, the mention was of a tax reduction only on diesel. The economic team did not like the texts of the PECs that will be filed by parliamentarians due to the fiscal impact they represent. In the texts, there is the possibility of reducing taxes on all fuels, diesel, gasoline, ethanol, as well as gas and energy.
This Friday (4), the president of the Senate, Rodrigo Pacheco (PSD-MG), held a meeting with senators and agreed that, starting next Tuesday (15), the texts that are in the Senate will have parallel processing. to the PEC that is in the House.
“If there is feasibility and consensus, the president of the Senate will guide the two projects that have been in progress for the longest time, PL 1.472/2021, which establishes the compensation account for reducing the main price, or base price of fuel, and PLP 11 /2020 that deals with taxation on fuels.
ICMS, but it can deal with others. The PEC arrives and will follow its normal process. These two projects should be scheduled for the plenary on Tuesday (15) and the PEC, from In a parallel way, it will remedy other points that are not in the projects, such as diesel aid for truck drivers and free public transport for the elderly”, said Senator Jean Paul Prates (PT-RN), who participated in the meeting with Pacheco and will be the rapporteur of these two projects in plenary.
Abstract: provides for a reduction in Pis/Cofins for all fuels, in addition to a reduction in IPI/IOF on other products/services, exceptionally in 2022 and 2023. It waives compensation for loss of revenue as provided for in the Fiscal Responsibility Law.
Abstract: similar to the PEC of the Chamber, but restricts the reduction of taxes for diesel and extends to energy and LPG. It also provides for diesel aid for truck drivers, a subsidy for free public transport for the elderly. It provides for financing on dividends from Petrobras and the Pre-Salt Social Fund.
Summary: Creates an offsetting account to cushion highs, with resources from dividends, royalties, and foreign exchange reserves, and creates a tax for the export of crude oil.