Brazil’s Finance Minister Projects $4.75 Billion Impact from Tax…

Brazil’s Finance Minister Fernando Haddad estimates that raising the income tax exemption will impact public finances by 27 billion reais ($4.75 billion) each year, but claims compensatory measures will fully offset this effect.

The Brazilian Finance Minister, Fernando Haddad, expressed that the proposed increase in the income tax exemption could result in a significant fiscal impact, estimated at 27 billion reais, equivalent to approximately $4.75 billion annually. He has emphasized that this fiscal effect will be completely offset by corresponding compensatory measures put in place by the government. As currently valued, 1 US dollar equates to 5.6886 reais.

In conclusion, Minister Haddad’s assertion regarding the significant fiscal impact of the proposed tax exemption highlights the government’s commitment to maintain fiscal balance through alleviation measures. The anticipated annual impact of 27 billion reais underscores important fiscal considerations in Brazilian public finance.

Original Source: www.marketscreener.com