The debate on extending the tax exemption on fuel generated friction in the elected government of Luiz Inácio Lula da Silva (PT).
The reason is that the economic team, which had been publicly defending the end of the exemption, felt crossed by the president of the PT, Gleisi Hoffmann, and by the future president of the National Bank for Economic and Social Development (BNDES), Aloizio Mercadante, and by the future Executive Secretary of the Civil House, Miriam Belchior, who were in favor of the extension.
As shown to CNN this week, allies of the next finance minister, Fernando Haddad, had been saying behind the scenes that the best solution would be to wait for the new government to take office so that a more careful political and economic analysis could be made of the impact of the end of the tax benefit.
Gleisi, Mercadante and Belchior, in turn, internally assessed that the end of the benefit should impact on inflation and consequently on Lula’s popularity. However, their confrontational positions with those of the economic team irritated the future Ministry of Finance.
Still this Friday (30) the debate remains. The elected government is debating the possibility of issuing a Provisional Measure next week to extend the benefit. The question now is for how long.
The economic team defends that it be for a maximum of 60 days, while interlocutors from Gleisi and Mercadante say that they want to extend the benefit for as long as possible.
Source: CNN Brasil
A journalist with over 7 years of experience in the news industry, currently working at World Stock Market as an author for the Entertainment section and also contributing to the Economics or finance section on a part-time basis. Has a passion for Entertainment and fashion topics, and has put in a lot of research and effort to provide accurate information to readers.
