After re-election, Lula government returns to targeting exempt taxes and bonds
Economic team is studying charging IOF from LCI, LCA, CRI, CRA and incentivized debentures and reducing tax incentives, according to Gazeta do Povo.
BY THE X-TRADER NEWS NEWSROOM · REPORTING FROM GAZETA DO POVO · 2 MIN
A few days after Lula's (PT) re-election, the economic team once again discussed measures that increase the tax burden, according to Gazeta do Povo. The report states that the government is considering charging IOF on LCI, LCA, CRI, CRA and incentivized debentures, securities that currently have a zero rate. The news came to light on Wednesday (28).
These bonds are also exempt from Income Tax and finance the real estate, agricultural and infrastructure sectors. Also according to Gazeta, citing O Globo, the tax waiver associated with them is estimated at around R$33 billion per year, which makes the discussion relevant to the Union's cash flow.
On the same day, the Federal Court of Auditors approved CBS's reference rate above market expectations. CBS will start charging next year. If the Senate validates the design, the dual VAT rate will be 30%, which Gazeta classifies as the highest consumption tax in the world.
In September, Finance Minister Dario Durigan stated that, if re-elected, the government would make a new linear cut of 5% to 10% in federal tax incentives, after a reduction of around 10% already made in 2026. According to the report, cutting incentives increases the effective burden on companies and sectors without creating a new tax, and the proposal has not yet been formalized.
On Tuesday (27), Durigan said that the government already has measures ready to adjust the accounts and that it will present them after Lula defines the economic team. The pressure on the budget grows with the new expenses announced by Lula during the campaign. The president's allies reject an adjustment and are already talking about overturning the fiscal framework, according to Gazeta do Povo.
What changes for the investor
If the IOF applies to LCI, LCA, CRI, CRA and incentivized debentures, the net profitability of these securities tends to decrease for those who invest in them, and issuers in the real estate, agro and infrastructure sectors may face higher funding costs. Cuts in incentives, if they move forward, would increase the burden on listed companies and could pressure margins in sectors more dependent on these benefits. In the macro field, the discussion about the fiscal framework is the point that weighs most on the perception of risk on public accounts, and a possible relaxation of the rule could change the risk premium required in interest and exchange rates. None of this is defined: the measures have not yet been formalized, and the final design depends on the economic team that the government will announce.
Automatically translated from Portuguese.
