Differentiated treatment for recycling in the tax reform is positive By Estadão Content

2023-07-11 01:40:31

© Reuters. Correction: Abal: Different treatment for recycling in the tax reform is positive

Att Srs. Assinants,

The previously published note contained an inaccuracy in the tax burden data for the aluminum sector. The text mentioned 36%, but the correct figure is 35%. Here is the corrected version:

The president of the Brazilian Association of (Abal), Janaina Donas, said that the inclusion in the text of the tax reform of a differentiated treatment for recycled products is a positive point for the sector, one of the largest recyclers in the country.

At the end of May, Abal released a survey indicating that the sector reached, for the first time, the mark of 100% recycling of aluminum beverage cans. The reuse of this material allows for a 95% reduction in greenhouse gas (GHG) emissions, in addition to providing significant savings in electricity consumption.

“The inclusion in the text of the reform of a differentiated treatment for recycled products is positive. This is an important agenda for the sector, having this treatment for a product that has this environmental appeal”, stated Janaina.

Simplification

Janaina points out that one of the main challenges for Brazilian industry is the complexity of the current tax system, combined with a high tax burden. Therefore, she considers the simplification movement present in PEC 45 – approved in the Chamber of Deputies last Friday, the 7th, a positive effort.

Another point emphasized by the spokeswoman is the importance of discussing tax relief. Abal estimates that the sector’s tax burden is, on average, close to 35%, according to a study carried out by the association in 2020. “If exemption is not possible, we have to ensure that the tax burden does not increase. We know that , in a context of budget constraints, the discussion about tax reductions becomes increasingly difficult”, said Janaina.