It was introduced inside anti-cyclical fiscal policy created to improve competitiveness, to stimulate exports (because the income coming from exports was not included in the base of the tax calculation) and to encourage employment. This measure decreased the value of the employer contribution related to payrolls from some sectors. The payroll exemption (“Desoneração da Folha de Pagamento” in Portuguese) was issued as a provisional measure in 2011, but later it was turned into a law. With the new law project, the government pretends to reduce this fiscal withdrawal in about 12.000 millions of Br. In april, the Ministry of the Brazilian Tax Authorities revealed a note that explains the Law Project 863/2015, which modifies the payroll exemptions adopted since 2011, and from which Auxadi overtook the first information in its newsletter of March.Īccording to the government, the fiscal withdrawal from the program added up to 21.600 millions of Brazilian real (0.39% GDP) and in 2015 it is estimated that the public and institutional income will decrease 25.200 millions of Brazilian real.
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