The event, which was opened by the Governor of the State of São Paulo,
Geraldo Alckmin, had the participation of heavyweights from the Economy, as
Alexandre Scheinkman, professor at Princeton University, USA, and the
economist Eduardo Giannetti da Fonseca, in addition to businessman Abílio Diniz, from
Grupo Pão de Açúcar, and Everardo Maciel, tax consultant and member of the
ETCO Advisory Board. Among the speakers
Marcos Lisboa, Secretary of Economic Policy of the Ministry of
Finance, and Daniel Goldberg, Economic Law Secretary at the Ministry of
Justice. The closing and the final conclusions of the debate were the responsibility of
Emerson Kapaz, president of ETCO.

Click here to read the McKinsey study  [1,25 Mb - PDF]

 

Final conclusions

In relation to informality, the challenges of the present can be
analyzed: First, it is easy to see from what was evidenced in the
presentations that the Parallel State has been gaining worrying dimensions, which
seriously compromises the survival of ethical companies and, as a result,
inhibits the resumption of development.

Second, society is tired and the criterion put into practice is the exercise
to veiled civil disobedience, source of a wide web of negative impacts. Per
Finally, the question that emerges from the presentations and debates, practical and
urgent is like moving from the current serious situation to an environment of gradual
normality.

Within this framework, the suggestions presented can be thus
synthesized:

In the political field:

• Governmental priority in public policies to combat practices of
  tax evasion, smuggling and adulteration of brands.
• Macroeconomic reforms to overcome the systemic impasses of the economy,
  example of excessive bureaucracy and slowness of justice, in addition to the high burden
  tax.
• Build an isonomic agenda to fight illegality, but also build
  an agenda that fosters legal competition, with the objective of promoting the
  development.
• Focus on sectoral issues in order to gradually reduce informality
  in different sectors of the economy.
• Evaluate the possibilities of applying, in Brazil, models of experiences
  victories in combating informality as in the examples of Spain and Portugal
• Increasing government attention to the microeconomic sector.

In the economic field:

• Realign the industrial model with an emphasis on labor intensive sectors
  example of textiles, footwear and clothing with the double objective of raising
  imports and expand the supply of jobs for less-skilled labor
  qualified.
• Gradually decreasing taxes on labor.
• Creation of mechanisms that allow those who feel harmed
  quickly enforce their industrial property rights.
• Simplification of bureaucratic procedures.

In the tax field:

• Concept: simple and gradual measures that combine an overall vision with the
  different sectoral demands.
• Expansion of Simples facilities, currently restricted to the federal sphere, to
  state and municipal spheres.
• Unique registration, based on data from the Commercial Junta.
• Simplification of procedures for registration, cancellation and changes
  cadastral;
• Single collection document;
• Elimination of prohibitions at the option of service providers (reduction of
  levels of payroll taxation);
• Integration with presumed profit;
• Simplification of procedures for administrative and administrative processes
  judicial;
• Inspection with federative repercussion;
• Standardization and reduction of the number of rates;
• Single regulation;
• Collection at source, sharing between source and destination maintained;
• Reduce the social security contribution deducted from the payroll of
  companies as a way to encourage and expand the hiring of formal jobs.

In summary, broad, coordinated and continued tax simplification, which
only in the case of ICMS, it involves 27 laws and 57 rates, which causes a strong
encouraging informality.

Other recommendations:

• Analyze the possibility of tax exemption, from top to bottom, for
  essential foodstuffs for the purpose of creating a culture of
  non-evasion;
• Reduced opening and closing times for companies.
• Coordination of work of commercial boards.
• Connect the Police and the Federal Revenue through intelligence actions in
  border and port regime.

A record worth mentioning:

Governor Geraldo Alckmin announced the creation of a discussion group
involving representatives of government and business to discuss
ways to intensify the fight against informality.

Emerson Capaz
Executive president