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Lula Ends Small-Import Tax as Left Pushes Probes Into Flávio Bolsonaro’s R$134 Million Film Deal

The rollback is an election-year bid to lift Lula’s standing with support even from opposition leaders.

Overview

  • President Lula signed a provisional measure on Tuesday that scraps the 20% import tax on online purchases up to US$50, and the opposition’s leader in the Chamber said his caucus will vote for it.
  • The government is pairing the tax reversal with Desenrola 2.0 to renegotiate up to R$100 billion in debts for as many as 27 million people and with cheaper credit for app drivers and taxistas, alongside housing and INSS loan rule changes.
  • The Intercept Brasil reported that senator Flávio Bolsonaro negotiated about R$134 million with banker Daniel Vorcaro to fund “Dark Horse,” a biopic about Jair Bolsonaro, publishing audios of Flávio pressing for payments tied to the production.
  • PT, PSOL and PCdoB lawmakers said they will ask the Federal Police to open an inquiry, seek data from the tax authority, and push for a congressional inquiry after the report detailed transfers allegedly routed through a U.S. fund linked to an attorney for Eduardo Bolsonaro.
  • The Prosecutor-General’s Office asked the Supreme Court to convict Eduardo Bolsonaro for coercion in a case where Paulo Gonet says he pushed threats and foreign sanctions to benefit his father; Flávio denies wrongdoing and says the film funding was private with no public money.