Overview

• The Chamber removed MP 1303 from the agenda on Oct. 8, causing the IOF-related text to lapse and costing the federal government an expected source of revenue for 2025 and 2026.
• PT figures blamed São Paulo Governor Tarcísio de Freitas for persuading deputies to sink the measure, with party leader Gleisi Hoffmann branding him the candidate of billionaires, betting firms and coup-mongers.
• Tarcísio released a video denying involvement, accusing the PT of running a campaign to damage his image, rejecting tax hikes and telling Finance Minister Fernando Haddad to cut spending.
• PL leader Sóstenes Cavalcante, who had thanked Tarcísio by name on the House floor, later called the mention a lapse of memory and said multiple governors and opposition actors worked the vote.
• The shelved proposal sought higher levies on financial applications, fintechs and online betting, and the clash feeds 2026 positioning as Tarcísio is touted as a potential presidential contender.