Our lawyer Thiago Braga contributed to an article in Forbes Brasil, which discussed the main points of the Tax Reform and the impacts of its implementation.

According to the tax expert, one of the measures, the so-called cashback, which is the return of money on the purchase of products such as gas for lower-income families, will have a smaller effect than expected. “The bill links tax refunds to families with a per capita income of up to half the minimum wage, and this restriction will greatly reduce the scope of the cashback.”

The expert also foresees difficulties with the so-called “split payment”. This system provides for the taxes created by the reform to be collected at the time of payment, when the bank will separate the amount for the public coffers of the national entities. “It is not yet clear how the split payment mechanism will be operationalized, especially technologically, by the federal entities,” he says.

Read more at: https://lnkd.in/dZSdgZMb