Panel SA: Entrepreneurs appeal to Lira and Pacheco against measure in Haddad’s plan

After the announcement of the package of economic measures by the Minister of Finance, Fernando Haddad, this Thursday (12) a focus of pressure begins. The group of businessmen Esfera Brasil, led by João Camargo, made an appeal to the mayors of the Chamber, Arthur Lira (PP-AL), and of the Senate, Rodrigo Pacheco (PSD-MG), this Friday (13) for Congress to bar the return of the so-called casting vote at CARF (Administrative Council of Tax Appeals).

For businessmen, the return of the mechanism —extinct in 2020 and which serves as a tiebreaker in cases of tax disagreement between the Federal Revenue and taxpayers— is one of the “most disastrous measures to cross the path of an economy that seeks to recover”.

“The end of this unfair and costly institute was an inestimable benefit for those who produce. Its return will bring legal uncertainty, uncertainty in the economy and serious damage to companies. In addition, the Minister of Finance also proposed that the Union resort to the Judiciary when it is defeated in the Carf, which will judicialize collections in order to bring the economy to the brink of impotence”, says Esfera Brasil.

The Carf is an administrative court responsible for judging cases of disagreement between the population and the Federal Revenue Service. The power of the casting vote is given to the president of CARF, usually an auditor, who rarely votes against the Revenue.

According to Haddad, the end of the casting vote generated losses to the Union of around R$ 60 billion per year. He claims that this will be a way of reducing the pending tax disputes at Carf, an idea that is contested by business associations such as Esfera Brasil, who expect a reverse effect.

The group also claims that the end of the casting vote is a benefit acquired by the sector and it is up to Congress to reverse Haddad’s intention.

Joana Cunha with Paulo Ricardo Martins and Diego Felix