Gustavo Krause, Paulo Haddad and Rubens Ricupero, former finance ministers during the Itamar Franco government and signatories of the Convergence for Brazil , which is an initiative for economic recovery with socioenvironmental principles, have published an article in Valor about the Green Tax Reform. The text, which endorses the proposal of 12 civil society organizations, including iCS, begins as follows:
“The Brazilian tax system is outdated and requires new configurations and resolutions. With yet another economic crisis, there is an urgent need to simplify the rules, reduce the tax burden, eliminate subsidies that create distortions and, above all, reduce the passivity with socioenvironmental losses. Similar demands have been present in the legislative context for decades.
With the population apprehensive about the future and significant concern in the financial markets, the search for new ways to develop an economy that is prosperous and attractive to the international market must include the demands of sustainability. The tax system must be reformulated and include incentives to develop products, services and economic activities with low carbon emissions and methods to combat the use of public resources subsidizing the opposite, and that, in this new global economic scenario, result in a competitive disadvantage.”