Lula does NOT accept the 2023 Income Tax Exemption Ceiling
Lula (PT) together with members of his government plans to increase the IR exemption ceiling (Income tax) in 2023 a maximum of two per month for citizens receiving minimum wages. This is due to the fact that the goal is to at least partially fulfill the promise made by the president during the pre-election campaign. Luis Inacio has guaranteed an increase in the tax exemption ceiling for workers earning up to R$5,000.
But, raising the ceiling value for exemption Income tax in 2023, the federal government will also reduce state revenues during the lean period. Notícias Concursos will show in an article this Tuesday (07th) how the economic team wants to reduce the primary deficit and, at the same time, give what it promised to the Brazilian people.
Lula’s government is considering changing the 2023 income tax exemption ceiling and taking other measures
In addition to raising the income tax exemption ceiling, Lula’s government also plans to change the minimum wage to R$1,320.00 in May. So, if this really happens, the exemption will be set for citizens who earn up to R$2640.00 per month.
At the moment, the exemption ceiling only covers those who receive a maximum of R$1,903.98 per month. However, these values have not been updated since 2015. As a result, the tax burden falls on lower-wage Brazilians because the minimum wage is adjusted annually, while the IR table is not.
