Brazilian President Lula da Silva calls for tax on super-rich

Brazilian President Lula da Silva stressed that the government 's proposal is not about indiscriminate tax increases but about progressive tax reform focused on the highest earners.

Brazilian President Lula da Silva. (Photo: Kyodo/VNA)

On July 4, Brazilian President Lula da Silva called for a tax on the super-rich, with an image of Mr. Lula holding up a sign with a message supporting taxing the wealth shared on social media.

The move comes amid rising tensions between the federal government and parliament after the legislature rejected the government's order to regulate the financial transactions tax (IOF).

In response to the decision, the Brazilian Attorney General's Office filed a petition with the Supreme Court to overturn the result.

In an interview with TV Bahia, Mr. Lula stressed that the government's proposal is not to raise taxes indiscriminately but to reform taxes in a progressive way, focusing on those with the highest incomes.

President Lula explained: "We do not intend to increase taxes indiscriminately, but to adjust taxes on the rich, so as not to have to cut theeducation and health budgets."

The Brazilian leader also sharply criticized the “lobbying industry,” referring to interest groups such as betting companies, fintechs and others that are pressing Congress to block tax reform. “Minority interests have prevailed in the House and Senate, which is absurd,” Lula stressed.

The Brazilian government is pushing a plan to exempt workers from income tax on salaries below 5,000 reais (nearly $1,000) per month. To help shore up the budget, the government is realizing a minimum 10% tax on those more than 50,000 reais (about $9,200) per month.

According to the Brazilian Ministry of Finance, this is a necessary measure to ensure social justice and adjust the tax system that has long burdened the poor. However, the government's proposal is facing mixed opinions due to concerns that the policy could reduce investment and hinder growth. Meanwhile, President Lula's administration emphasizes the spirit of solidarity and shared responsibility in building a more equitable society./.

Source: https://baolangson.vn/tong-thong-brazil-lula-da-silva-keu-goi-ap-thue-doi-voi-gioi-sieu-giau-5052285.html