Congress approves 1st contribution to compensation fund for tax reform states

BySimon Rousseau Posted on
Congress and Lula government agree amendment calendar and fiscal target floor in 2026

This Friday, the 19th, the National Congress approved the government’s first contribution to the ICMS Tax or Financial-Fiscal Benefits Compensation Fund, provided for in the tax reform. Deputies and senators approved the National Congress Bill (PLN) which allocates R$8.3 billion for this purpose.

The text was approved together with 18 other similar matters.

The proposals open, for example, extra credits, reallocate budget resources and make changes to the 2025 Budget Guidelines Law.

The texts were voted on symbolically — without individual registration — and now go for presidential sanction.

The fund aims to compensate, between 2029 and 2032, the possible losses of states and municipalities resulting from tax reform.

According to the schedule, the government must contribute R$160 billion to the fund between 2025 and 2032, distributed as follows:

  • 2025: R$8 billion
  • 2026: R$16 billion
  • 2027: R$24 billion
  • 2028 and 2029: R$32 billion
  • 2030: R$24 billion
  • 2031: R$16 billion
  • 2032: R$8 billion
Simon Rousseau
Simon Rousseau

Hello, I'm Simon, a 39-year-old cinema enthusiast. With a passion for storytelling through film, I explore various genres and cultures within the cinematic universe. Join me on my journey as I share insights, reviews, and the magic of movies!