Senate Commission maintains incentives for the Manaus Free Trade Zone in tax reform text | Amazon

Senate Commission maintains incentives from the Manaus Free Zone in tax reform

According to the government leader in the Senate, Senator Jaques Wagner, the PEC should be voted on in the House plenary this Wednesday (8).

If approved in the plenary, the proposal will have to return to the Chamber – which already analyzed the text in July. In the Chamber, deputies will evaluate the changes made by senators.

The debate at the Constitution and Justice Commission (CCJ) lasted around 7 hours. On the agenda, the main points proposed by the reform rapporteur, senator Eduardo Braga (MDB-AM), were presented. Despite the conflict, the text was approved by a score of 20 votes to 6.

Even with the various changes promoted, the rapporteur maintained the pillars approved by the Chamber of Deputies.

Points that remained after approval by the CCJ

• simplification of consumption tax collection
• change of charge from origin to destination where goods are consumed
• exemption from taxes on the basic food basket

The rapporteur also maintained the maintenance of tax incentives granted in the Manaus Free Trade Zone, with the aim of preserving the competitiveness of industries located in the capital.

Another point included was the charging of intervention contributions on economic dominance over products from other areas of the country that compete with those manufactured at ZFM.

Another change that is included in the text is the permission that covers industries located in the free trade areas of the states of Roraima, Amapá, Rondônia and Acre. With this, industries should have the same guaranteed protection that are based at ZFM in Manaus.