In a letter sent to Serpro (Federal Data Processing Service) and obtained by CNN, the Internal Revenue Service says that, as of May 12, it will no longer be able to maintain payments to the technology body. The IRS informs that it would need a budget supplement of almost R$ 1 billion this year (R$ 917 million), but that, at the last meeting of the budget execution board, in March, the request was not even considered.
The budget provides for R$ 554.6 million for the entire year of 2022, for maintenance of system production services, says the document. And the money is at an end. Therefore, if nothing changes, as of May, there is no way to order or execute the contract with Serpro. The IRS says that Serpro has been informed about the situation through official letters in recent months.
The problem is that in May we will be in the final stage of delivery and processing of the Income Tax.
The president of the National Union of Tax Analysts of the Federal Revenue of Brazil (Sindireceita), Geraldo Seixas, says that there is a risk of “blackout” in the body. He recalls that the Federal Revenue, at this very moment, is already working on receiving and processing the Personal Income Tax returns (IRPF) and that the procedure can be compromised without resources for the cost of information systems.
Seixas also warns of other consequences such as the delay in releasing and granting certificates, which are essential for the operation of companies and for foreign trade.
“Practically, all procedures for analysis, inspection, collection, collection, verification and updating of records depend on systems”, said the president of Sindireceita.
For 2022, revenue has a budget forecast of around R$1.2 billion, compared to the previous year’s R$2.5 billion. If the value established in the Budget Guidelines Law (LOA) of 2022 is not revised, the Federal Revenue budget will be equivalent to what the institution executed in 2010.
Serpro responded to the CNN who cannot comment on contractual issues, but who will guarantee the processing of Income Tax and the payment of refunds even if they stop receiving.
“There is no risk of prejudice to the processing of income tax returns, or to the payment of refunds, possibly resulting from any contractual issue”.
Sought, the Federal Revenue informed that it works with the competent government bodies to recompose the institution’s budget, “in order to avoid any discontinuities in its regular operation”.
Source: CNN Brasil

I am Sophia william, author of World Stock Market. I have a degree in journalism from the University of Missouri and I have worked as a reporter for several news websites. I have a passion for writing and informing people about the latest news and events happening in the world. I strive to be accurate and unbiased in my reporting, and I hope to provide readers with valuable information that they can use to make informed decisions.