Transition group to propose lower tax in exchange for faster 5G rollout

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The Transition Technical Communications Group should propose to the new government the possibility of reducing taxes on communication services in exchange for a faster expansion of the 5G offer and a cut in the price of service packages for the population, said this Monday ( 28) former minister Paulo Bernardo, one of the members of the group.

Bernardo made it clear that there is no possibility of trying to change the terms of the contracts agreed with operators in last year’s 5G auction, but he said that the new government can talk to companies to try to expand the service more quickly in exchange for incentives.

On another occasion, the ex-minister had already declared that taxes in the area of ​​communication are very high.

“The federal government is in a position to talk to companies and make a policy,” he defended.

The idea is that, with the reduction of taxes, companies will be able to expand 5G more quickly to the interior and peripheral areas of large cities, and offering cheaper packages would expand access, which would offset the tax reduction.

The sum of taxes today on telecommunications services is around 22%, with the ICMS reduction to 18%. Federal taxes —PIS, Cofins and FUST and Funttel funds— represent just over 5%.

“I am sure that we can negotiate with the states. The purchase of more equipment, the expansion of services, may even compensate for the reduction in taxes”, defended Bernardo, emphasizing that these will only be suggestions from the WG.

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