Carf suspends trial sessions after civil servants hand over positions

The CARF (Administrative Council of Tax Appeals) suspended trial sessions scheduled for next week for lack of quorum, after Federal Revenue officials decided to hand over the positions of counselors in the body amid a national mobilization for remuneration.

The mobilization of civil servants suspended activities at Carf just when the body was preparing to resume face-to-face trials and, with that, the highest value cases. Because of the pandemic, the council worked only in the virtual environment and with analysis of smaller processes (in most of the period, understood as those of up to R$ 8 million).

According to Carf, the lack of a quorum was caused “by the adhesion of counselors representing the National Treasury to the functional category walledist movement”.

Since the end of last year, at least 45 civil servants have requested exoneration from their mandates as counselors at Carf, responsible for judging tax disputes between the Union and taxpayers. In all, according to the union of the category, 63 counselors intend to leave the body in January.

Carf’s decision suspends the trial sessions of the Ordinary Panels of the 2nd Trial Section and 1st and 2nd Extraordinary Panels of the 1st Trial Section scheduled between January 10 and 14.

Members of the Internal Revenue Service were the ones who started the mobilization in the civil service for better remuneration at the end of last year, a movement that now involves different categories – such as at the Central Bank and among labor auditors. Other civil servants, such as those working in the budget area, also plan to intensify the protest.

Since December, 1,237 employees of the Revenue have decided to hand over their positions across the country. Auditors mainly protest against the lack of regulation of the efficiency bonus for the category.

Auditors have received the efficiency bonus since 2017, when the instrument came to be provided for by law. But the legal provision is that it varies according to the productivity of the body. Today, there is no regulation on this fluctuation, and auditors demand an act or decree from the government for the change to take place.

In order to be variable, the amounts foreseen in the Budget would have to increase to the maximum amount foreseen in bonuses for the category – which represents R$ 400 million more than what was foreseen today.

Amid the movement, President Jair Bolsonaro (PL) signaled the analysis of the election. “It will be decided who to go to [a verba para reajustes]. It could be for part of the IRS staff, it could be for federal highway officers, criminals, or for nobody. Or give less than 1% to everyone. Let it calm down a little, we’ll make the best decision,” he said in December.

The signal pleased the IRS employees, but it also aroused the mobilization of other civil servants for a similar benefit. The union that represents labor tax auditors (Sinait) recorded this week the delivery of more than half of the leadership and coordination positions for the regulation of the bonus for the category.

At the Internal Revenue Service, the movement continues and, to circumvent possible political pressure against the stampede, civil servants are even considering going to court and asking for the dismissal of leadership positions that have been barred for lack of approval from superiors.

The joint delivery of commissioned positions still needs to be approved by senior members of the Revenue and published in the Federal Official Gazette. This includes the stampede at Carf.

Since the end of last year, auditors stationed at the customs office at the Port of Santos, on the coast of São Paulo, have been working in standard operation. The measure means that the analysis, selection and distribution of import declarations are carried out more carefully, which has the potential to delay the flow of foreign trade in the country.

The strike movement for salary adjustment was triggered after lobbying by federal police officers had an effect and corporations received Bolsonaro’s promise that there will be resources for salary increases in 2022.

These categories are part of the president’s electoral base. This year, he will seek re-election in the dispute for the Planalto Palace.

Only the Federal Police, PRF (Federal Highway Police) and Depen (National Penitentiary Department), in addition to community health agents, obtained signs of readjustment within the federal civil service.

The Budget provides for BRL 1.7 billion for adjustments, but the text does not limit the use of this amount exclusively for police careers (despite the president signaling this intention in the government). The definition of the destination of the amount, therefore, remains open.

Sought, the Ministry of Economy did not comment until the publication of this text.