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Murray News

Speaker endorses income tax, administrative reforms

Hugo Motta also defends legislative immunity proposal opposed by Supreme Court: “It’s not a retaliatory measure”

 

 

 

08/27/2025 

Chamber of Deputies Speaker Hugo Motta (Republicans of Paraíba) said on Wednesday (27) he expects few changes to the government’s bill that raises the monthly income tax exemption threshold to R$5,000. Speaking at the Agenda Brasil event, organized by Valor, O Globo and CBN radio, Mr. Motta also criticized Washington’s lack of openness to negotiate over its new tariff package and pledged to work “hand in hand” with President Luiz Inácio Lula da Silva on administrative reform.

On the tax bill, Mr. Motta stressed that the special committee report coordinated by Federal Deputy Arthur Lira (Progressives Party of Alagoas) was approved unanimously, giving it strong momentum heading into the floor vote. “I expect there will be amendments and highlights, but given the construction of the text, there is a strong chance it will be maintained,” he said. He is set to meet Senate President Davi Alcolumbre (Brazil Union, Amapá) this week to coordinate voting timetables. The government wants the bill approved in both chambers before the end of September.

Mr. Motta said the rapporteur has yet to be chosen for the provisional measure that outlines compensatory policies for sectors hit by the U.S. tariff hikes. Even so, he praised the draft and signaled preference for concentrating all related proposals into that measure.

On U.S.-Brazil trade tensions, Mr. Motta accused Washington of refusing to engage in dialogue, calling Brazil’s sovereignty “non-negotiable.” He said the U.S. is listening “only to one side,” and argued that the new tariffs violate WTO rules. “It’s a lose-lose game,” he warned.

Mr. Motta also commented on a proposed constitutional amendment (PEC) that would expand parliamentary protections, requiring congressional approval before lawmakers can be investigated. He rejected the notion that the initiative is retaliatory against the Supreme Court, framing it instead as a move to ensure greater independence of the legislature. This is being interpreted as a reaction to the Federal Supreme Court (STF), which has intervened to increase transparency of earmarks and criminalize corrupt lawmakes.

“There is a sense across parties that this activity needs clearer legal limits. Some decisions have gone beyond what is constitutionally guaranteed to lawmakers. It’s not a retaliatory or reactionary measure. It’s a measure that the Legislative understands that is should discuss to provide more independence to Congress,” he said.

On administrative reform, Mr. Motta said he discussed the matter directly with President Lula and intends to advance the project collaboratively with the Executive. “We won’t make a reform that pleases everyone, but creating a more efficient state means reviewing what isn’t working. I spoke with President Lula about working hand in hand. There will be divergences—that’s democracy. We’ll figure out what the viable proposal is and face the issue,” he stated.

*By Murillo Camarotto, Valor — Brasília

Source: Valor International

https://valorinternational.globo.com/

27 de August de 2025/by Gelcy Bueno
Tags: administrative reforms, Tax
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