Economy Minister: Creating New Funds to Aid States Could Bankrupt Federal Government

According to the Minister, through the reform the federal government intends to reduce and simplify tax rates.

RIO DE JANEIRO, BRAZIL - Brazil's Minister of Economy Paulo Guedes said yesterday, September 14th, that the federal government could become bankrupt if federal funds were created to compensate states and municipalities for the loss of revenue caused by the tax reform in Congress. The statement was made during the online event "The municipalist perspective on Tax Reform", organized by the National Confederation of Municipalities (CNM).

According to the Minister, the federal government should share resources with states and municipalities, but it can not offer a guarantee of revenue collection. He said that to guarantee transfers to states and municipalities . . .

To read the full NEWS and much more, Subscribe to our Premium Membership Plan. Already Subscribed?