Overview

• Relator Carlos Zarattini moved to keep LCI and LCA income tax exemptions to ease ruralist resistance while preserving higher levies on bets, limits on PIS/Cofins credits, a higher JCP rate, and a CSLL floor for fintechs.
• The mixed committee vote is set for Tuesday after three postponements, there is still no final accord, and Chamber president Hugo Motta says the text will need changes to pass.
• The government now works to preserve roughly R$15 billion in new revenue and about R$15 billion in spending cuts from the MP, down from earlier designs reported as totaling R$36 billion.
• The Chamber is pushing a security agenda with urgent votes, including tougher penalties for adulterated alcoholic beverages, as the Ethics Council moves to open cases with recommended suspensions over the August floor disruption.
• The income tax exemption bill for salaries up to R$5,000 passed the Chamber unanimously and heads to the Senate, where allies predict quick approval, as markets focus on fiscal outcomes and react to reports about costly ideas like nationwide zero bus fare that the Cities Ministry says it is not studying.