Brazil’s government on Tuesday unveiled a long-promised income tax reform aimed at exempting individuals earning up to 5,000 reais (approximately $881) per month from paying income tax.
Finance Minister Fernando Haddad described the bill as "balanced" in fiscal terms and a step toward achieving tax justice.
Under the proposal, the revenue gap created by the tax exemption for low-income earners would be offset by imposing new levies on high earners, as well as on profits and dividends sent abroad. The reform is designed to relieve the tax burden on the country’s lower-income population while ensuring that wealthier individuals and corporations contribute a fair share.
President Luiz Inácio Lula da Silva's government has consistently emphasized the need for reforms that promote social equity and stimulate economic growth. This income tax reform is a central element of the administration’s broader fiscal agenda, aiming to foster a more just tax system while maintaining fiscal balance.
Haddad’s statement comes as part of ongoing efforts to modernize Brazil’s tax structure and reduce income inequality. If implemented, the reform is expected to boost disposable income for millions of low-income Brazilians, potentially stimulating domestic consumption, while also generating additional revenue from the nation’s wealthiest sectors to sustain government spending and public services.
The proposal now moves to the legislative stage, where it will face debate and scrutiny in Congress. Lawmakers and economists will weigh its potential to drive economic growth against concerns about its impact on investment and competitiveness.
Pedro Lucas Fernandes has declined President Luiz Inácio Lula da Silva’s offer to become Minister for Communications—a key post that oversees the country’s telecoms and postal system.
Brazil’s former president Jair Bolsonaro has undergone intestinal surgery after being hospitalized with severe abdominal pain.
At the Antalya Diplomacy Forum, COP29 President Mukhtar Babayev highlighted Azerbaijan’s climate leadership, unveiling the Baku to Belem Roadmap. The initiative aims to scale climate finance to $1.3 trillion by 2035, with global cooperation to support developing nations.
Former Brazilian president Jair Bolsonaro is in stable condition and will not require surgery, according to doctors, after he was hospitalized in northeast Brazil with abdominal pain.
Brazil has named automotive industry executive Dan Ioschpe as its official “climate champion” for the COP30 summit, to be held in Belém this November.
Kyrgyz and Azerbaijani cultural ministers signed a 2025–2026 roadmap to deepen bilateral cooperation during a meeting in Bishkek.
On April 23, President Ilham Aliyev of Azerbaijan and President Xi Jinping of China convened an expanded meeting at the Great Hall of the People in Beijing.
Start your day informed with AnewZ Morning Brief: here are the top news stories for April 23rd, covering the latest developments you need to know.
In India’s deadliest terrorist attack in nearly two decades, 26 people were killed and 17 injured when suspected militants opened fire on tourists in the Kashmir region, triggering national outrage and renewed concerns over security in the volatile territory.
The Holy Fire ceremony stands as one of Christianity's most enduring and mysterious rituals, drawing thousands of pilgrims to Jerusalem each year.
Pope Francis's relationship with Azerbaijan has evolved significantly over the years, characterized by diplomatic exchanges, promotion of religious tolerance, and peace advocacy in the Caucasus region.
Severe rainfall on April 17 led to flooding and landslides in the Piedmont region, prompting a large-scale emergency response from over 400 firefighters.
Pope Francis, the first Latin American pope and a transformative figure in the Roman Catholic Church, has passed away at the age of 88, the Vatican confirmed in a video statement on Monday.
China has rolled out the world’s first 10-gigabit (10G) fixed broadband network in Xiong'an New Area, promising ultra-fast speeds and low latency through cutting-edge optical infrastructure.
On April 23, President Ilham Aliyev of Azerbaijan and President Xi Jinping of China convened an expanded meeting at the Great Hall of the People in Beijing.
Start your day informed with AnewZ Morning Brief: here are the top news stories for April 23rd, covering the latest developments you need to know.
In India’s deadliest terrorist attack in nearly two decades, 26 people were killed and 17 injured when suspected militants opened fire on tourists in the Kashmir region, triggering national outrage and renewed concerns over security in the volatile territory.
Elon Musk announced he will sharply reduce his involvement in the Trump administration’s Department of Government Efficiency starting next month, shifting focus back to Tesla amid mounting investor pressure and falling sales.
Kyrgyz and Azerbaijani cultural ministers signed a 2025–2026 roadmap to deepen bilateral cooperation during a meeting in Bishkek.
On April 23, President Ilham Aliyev of Azerbaijan and President Xi Jinping of China convened an expanded meeting at the Great Hall of the People in Beijing.
Start your day informed with AnewZ Morning Brief: here are the top news stories for April 23rd, covering the latest developments you need to know.
In India’s deadliest terrorist attack in nearly two decades, 26 people were killed and 17 injured when suspected militants opened fire on tourists in the Kashmir region, triggering national outrage and renewed concerns over security in the volatile territory.
You can download the AnewZ application from Play Store and the App Store.
What is your opinion on this topic?
Leave the first comment