IR 2021: Ministry of Economy asks Bolsonaro to veto extension of delivery time – Prime Time Zone

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New date brings risks to government social actions to combat the pandemic, such as the program to reduce hours and wages and the payment of emergency aid

Marcello Casal Jr / Agência BrasilEconomy folder states that reasons presented for the extension of the term have had little impeding or hindering effect on the fulfillment of the declaration

O Ministry of Economy recommended this Wednesday, 5, that the president Jair Bolsonaro (without party) vetoes the extension of the deadline for delivery of the 2021 Income Tax for July 31st. The economic team advocates that the deadline be maintained on May 31. The extension of the term was approved by the Chamber of Deputies in March after the Internal Revenue Service itself stretched the limit for this month in the face of the worsening of the new coronavirus pandemic. The original deadline for taxpayers to deliver documents was April 30. According to the folder, the new date would have an impact on the collection of the Union, States and municipalities and would affect the payment of social programs to face the pandemic, as the program wants to reduce working hours and wages, the offer of credit lines for micro and small business owners (Pronampe) it’s the emergency aid.

“The three-month extension of the period for payment of the income tax calculated in the adjustment statement and the maintenance of the original refund schedule would result in a negative cash flow, that is, the collection would be less than the refunds”, informed the folder. “Likewise, States and Municipalities would have a considerable reduction in the resources allocated to participation funds that subsidize, among others, health expenditures to combat the pandemic”. The economic team also states that the reasons that would justify the extension of the term have “had little impeding or hindering effect” for the declaration of the Income Tax in 2021. “According to a survey by the Federal Revenue, from April 1 to 22, 2021 the number of declarations delivered reached 14.7 million, which exceeds the amount verified in the same period in 2020 and follows the numbers of previous years ”, informed the ministry.