The Senate’s Constitution, Justice and Citizenship Commission (CCJ) approved tax immunity for consoles and games produced in Brazil. The senators analyzed the Proposed Amendment to the Constitution (PEC) 51/2017, created from a suggestion sent on the e-Citizenship portal.
THE PEC 51/2017 it includes “consoles and games for video games produced in Brazil” in item VI of article 150 of the Federal Constitution, which prohibits the Union, states and municipalities from creating taxes on some segments. Among them are religious temples, books, CDs and DVDs.
With the approval in the CCJ, the proposal went to vote in the Senate plenary, with no date yet to be voted. Then, for the zero tax on consoles and electronic games to take effect, the agenda will need to be approved by the Chamber of Deputies.
The PEC is a collective authorship of the Commission on Human Rights and Participatory Legislation (HRC). It was created from the proposal sent by Kenji Amaral Kikuchi on the e-Citizenship portal. Initially, the suggestion was to reduce the tax burden on consoles and games produced in Brazil from 72% to 9%.
However, the PEC rapporteur, Senator Telmário Mota (PTB-RR) proposed exemption from tax. In his assessment, the proposal represents a blow to piracy and will offer a positive balance for the country, even if it has an impact on tax collection.
PEC 51/2017, according to Mota, is “a real opportunity for the development of electronic games, with the increase in employment, profits and also revenue, since contributions on gross revenue will continue to affect the sector normally”.
With information: Senate.