The Committee on Economic Development, Commerce and Industry approved on Wednesday (8) the extension of the exemption of IPI (Tax on industrialized products) for vehicles manufacturated in countries of Mercosur, acquired by taxi driver or people with physical disabilities. The vehicles manufactured in Brazil already have this benefit, since 1995.

Adequacy of laws
In the opinion of the rapporteur, Representative Miguel Cornea (PT-MG), the proposal appropriates the legislation to the existing treaties on Mercosur, which advocate equal tax treatment between national products and those manufactured by the member states.

Argentina, Uruguay and Paraguay are part of the South Common Market treaty, and other countries that join the pact will have the same treatment.

According to the government, the project does not represent additional tax waiver to that already provided by Annual Budget Law (LOA), because the benefit will still contemplate only one vehicle, whether national or imported.

Amendments
The measure is provided in Bill 2896/08, of the Executive Branch, which amends the Law (8.989/95) created the benefit.

It was approved two amendments submitted by Representative Otávio Leite (PSDB-RJ). The first extends the deadline for granting the IPI discount until December, 2011. The period would be closed this year and was already extended six times since 1996. The second amendment makes it clear that the products need for adapting the vehicles acquired for these imported vehicles will also be exempted.

Processing
The project works in a conclusive way and will still be analyzed by the Committee on Finances and Taxation; and of Constitution and Justice and Citizenship.

Reporting - Marcello Larcher
Edition - Newton Araújo
Translation – Thiago Capatti - Grupo Solucion – SP Language Center Treinamentos e Traduções Ltda