Brazilian parliamentarians took an essential step towards approving Bill 5359/19, which exempts manufacturers and importers of agricultural pesticides from paying the so-called social contributions.
The Committee on Agriculture, Livestock, Supply, and Rural Development of the Chamber of Deputies approved the proposal, paving the way for a final positive vote when the project is presented to all parliamentarians in the plenary.
Social contributions “PIS/Pasep” and “Cofins” are taxes levied in Brazil from companies to finance public spending on social and healthcare for the population.
When recommending approval, the rapporteur, Deputy Heitor Schuch, said that the proposal corrects injustices. “By giving biological control agents the same treatment given to traditional pesticides, the adoption of environmentally sustainable technology that is less harmful to health is encouraged,”, the rapporteur stated.
Heitor Schuch
Under the proposal, the PIS/Pasep or Cofins rate will be zeroed on import operations and gross revenue from sales in the domestic market. The text amends Law 10.925/04, which already exempts fertilizers and agricultural pesticides. Schuch presented an amendment to ensure this differentiated treatment.
“This technology [biopesticides] will help agriculture to gradually seek to reduce the use of agrochemicals,” said Deputy Vilson da Fetaemg (PSB-MG), author of the project.
Vilson da Fetaemg
The proposal is being processed on a conclusive basis and will still be analyzed by the Finance and Taxation committees; and Constitution and Justice and Citizenship.
(Editing by Leonardo Gottems, reporter for AgroPages)
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