Brazil clown show: Deputy says Bolsonaro’s tax cut package on industrial products is electoral crime

RIO DE JANEIRO, BRAZIL – The first vice-president of the House of Representatives, Marcelo Ramos from Amazonas State, spared no criticism of presidential decree No. 10,979, which reduces the Tax on Industrialized Products (IPI) by up to 25% on products from all sectors released on Friday, February 25.

The deputy informed that he intends to file a representation for electoral crime against President Jair Bolsonaro, requesting the suspension of the decree’s effects, with the Superior Electoral Court (TSE).

The Ministry of Economy, which defended the measure to reindustrialize the productive sector, has not yet commented on the matter. According to the Ministry’s estimates, the decree should have a fiscal impact of R$19.6 billion (US$3.8 billion) on the federal government’s IPI tax collection this year.

ALLEGED ELECTORAL POPULISM

The deputy from Amazonas classified the measure as demagogic and populist and pointed electoral crime to justify his action against Jair Bolsonaro.

“We will denounce this measure and take action against this electoral demagoguery,” he said, citing Article 73, paragraph 10 of Law 9.504, of September 30, 1997 – which establishes the rules for elections – where it prohibits candidates for electoral elections to grant tax benefits, except in cases of emergency.

Published in an extra edition of the Official Federal Gazette (DOU), decree 10,979 reduced the IPI tax by 25% on most industrialized products, except for cigarettes. In the case of automobiles, the tax reduction is now 18.5%. The measure becomes effective as of the publication of the new rule, which does not need to go through the National Congress.

WHOSE BIAS?

Deputy Marcelo Ramos accuses Bolsonaro of trying to win the election by taking “populist actions”, knowing that the Brazilian people will welcome this decision.

But one might ask: Isn’t it a politician’s duty to find solutions to improve the country’s economy and the population’s quality of life? Isn’t Brazil’s current economic situation an emergency that justifies such measures? Why doesn’t this congressman celebrate the president’s decision with the people?

He seems guilty of what he accuses Bolsonaro of doing, trying to thwart a decision that would benefit the people so as not to jeopardize his own political agenda.

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