Brazil to Cut Electric Sector Companies Tax Benefits: Rapporteur

Companies that generate thermoelectric energy will lose tax exemptions for coal acquisition, the rapporteur of Brazil’s tax reform bill Celso Sabino told reporters after a meeting with parties leaders.

• Sabino argued that the sector was benefited with Eletrobras capitalization
• Report estimates a 30b reais in tax burden reduction, he said
• Changes in Brazil’s income tax rules will reduce govt revenue by 115b reais, but will be compensated by 85b reais in exemption and public spending cuts
• Govt will cut spending with a bill that limits higher wages for public servants
  • Report suggests taxation of housing and transport assistance for categories ...